(Updates for the midday break)
By Brigid Riley
TOKYO, March 25 (Reuters) - Japan's Nikkei share average
climbed more than 1% on Tuesday as indications that impending
U.S. tariffs against trading partners may be more measured and
targeted than previously feared injected fresh optimism into
markets.
Automakers and other export-related stocks received an
additional boost from a weaker yen.
The Nikkei was up 0.7% at 37,881.70, as of the
midday break, putting the index on track to snap a three-day
losing streak.
The broader Topix touched an eight-month peak of
2,818.36, and was trading 0.3% higher at 2,799.92.
Japanese equities took their cue from all three major U.S.
stock indexes finishing sharply higher on Monday after investors
took the latest comments from U.S. President Donald Trump as a
sign of flexibility on the tariff blitz that has rocked
markets.
The broad gains across U.S. stock indexes reassured
investors, and tariff concerns eased somewhat, according to
Masahiro Ichikawa, chief market strategist at Sumitomo Mitsui DS
Asset Management.
However, it remains uncertain how long this optimism will
last.
"There are still many unknowns, like what specific tariffs
will be announced on April 2, and we won't know until next
week," said Ichikawa.
Japan's technology shares outperformed after their U.S.
peers rebounded overnight, with the Philadelphia SE
Semiconductor Index logging a 3% rise. SoftBank Group
climbed 1.2% and Tokyo Electron ( TOELF ) added 1.7%.
Toyota Motor ( TM ), up 0.8%, along with other carmakers,
gained on the expectation that U.S. tariffs on auto imports
might not be as severe as previously anticipated, while also
benefiting from a weaker yen.
The dollar last traded at 150.63 yen after the
Japanese currency depreciated overnight.
Among major shares, Uniqlo parent firm Fast Retailing ( FRCOF )
rose 1.1%, contributing the most to the Nikkei.
Electronic components maker TDK Corp ( TTDKF ) and medical
equipment maker Terumo ( TRUMF ) both rallied more than 2%.
Chip-testing equipment maker Advantest ( ADTTF ) slipped 0.8%.