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Gov't officials welcome Nikkei's 1st rise above 14,000 in 5 years

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(Globalpost/GlobalPost)

Japan's top government officials on Tuesday welcomed the Nikkei stock index's first rise above 14,000 in nearly five years, stressing the positive impact of the country's economic policies, which have been dubbed "Abenomics."

"I meekly want to welcome steady performance" of shares as the recent climb in the 225-issue Nikkei Stock Average has become "a symbol of revival of the Japanese economy," economic revitalization minister Akira Amari said at a press conference.

"I believe that (financial markets) appreciate the effects of Abenomics, which have gradually rippled through the real economy," Amari said.

Amari added the government of Prime Minister Shinzo Abe has to accelerate efforts to finalize concrete strategies to stimulate economic recovery further.

Yoshihide Suga, the government's top spokesman, also said at a separate news conference that market participants "have deepened their understanding" of Japan's economic policies aimed at bolstering domestic demand and ending Japan's nearly two-decade-long deflation.

"Higher stock prices are better than lower," Chief Cabinet Secretary Suga said, adding, "We'll continue to make efforts to curb the strong yen and beat deflation by implementing policies in a steady and speedy manner."

In order to jack up the economy, Abe's government, launched on Dec. 26, is trying to promote what the premier calls the "three arrows" -- bolder monetary easing, massive fiscal spending, and growth strategies, scheduled to be crafted by June.

On Tuesday, the Nikkei ended the morning session up 389.22 points, or 2.84 percent, from Thursday at 14,083.26, after climbing to as high as 14,097.67, its highest intraday level since June 20, 2008. Japanese financial markets were closed Friday and Monday for national holidays.

In addition to hopes for Abenomics, Tokyo share prices surged as the dollar rose against the yen amid growing expectations for a rebound in Japan's exports following the release Friday of brisk U.S. jobs data for April, traders said.

A falling yen usually supports exports by making Japanese companies' products cheaper abroad and increases the value of overseas revenue in yen terms.

==Kyodo

http://www.globalpost.com/dispatch/news/kyodo-news-international/130507/govt-officials-welcome-nikkeis-1st-rise-above-14000-5-