Tokyo stocks open higher

Tokyo stocks opened higher on Wednesday, tracking rallies on Wall Street, with trade expected to be cautious ahead of a national holiday.

The benchmark Nikkei 225 index rose 0.88 percent, or 197.69 points, to 22,614.17 in early trade while the broader Topix index was up 0.67 percent, or 11.84 points, at 1,782.97.

Wall Street stocks jumped Tuesday led by tech shares, with all three major indices ending at all-time highs.

“After gaining in early trade, Japanese shares may lose clear direction ahead of a market close” for Thursday’s national holiday, SBI Securities said in a commentary.

Investors are focusing on individual shares seen as relatively cheap amid favourable external conditions such as sound economic growth in major economies including the United States, analysts said.

The dollar fetched 112.26 yen in early Asian trade, down slightly from 112.44 yen in New York late Tuesday.

Subaru was up 1.12 percent at 3,670 yen after a report said it will start selling electric cars as early as in 2021.

Sony gained 1.16 percent to 5,278 yen in early trade following a report it will boost AI development in a joint venture with Japanese and US firms.

Trading firm Mitsubishi Corp. was up 0.75 percent at 8,058 yen after a report that it plans to create an investment fund focusing on transportation infrastructure this month.