Nikkei index ends up 8%, logs largest 1-day point gain in 26 years

TOKYO, March 25 Kyodo - The Nikkei stock index logged its largest daily point gain in 26 years and surged over 8 percent on Wednesday, as buying was boosted after reports U.S. lawmakers had reached an agreement on a $2 trillion stimulus package to rescue the economy from the new coronavirus. Exporters got a boost as the U.S. dollar made substantial gains against the yen compared with levels around the stock market close Tuesday. Marine transportation, real estate, and iron and steel issues showed strong rises, as overall sentiment was also boosted by the decision to postpone the Tokyo Olympics for about one year due to the spread of the virus. "The worst scenario of a cancelation was avoided, which is positive to the market," said Makoto Sengoku, a market analyst at the Tokai Tokyo Research Institute. The 225-issue Nikkei Stock Average ended up 1,454.28 points, or 8.04 percent, from Tuesday at 19,546.63. The broader Topix index of all First Section issues on the Tokyo Stock Exchange finished 91.52 points, or 6.87 percent, higher at 1,424.62. The Tokyo market shot higher from the outset after the Dow Jones Industrial Average marked its largest-ever point increase overnight on expectations of the agreement on the stimulus package. Government stimulus measures and central banks' easing monetary policies at home and abroad have helped lower concerns over the impact of the virus on the global economy in recent trading, sending the Nikkei higher three days in a row. "(However) as U.S. shares have somewhat priced in the stimulus package overnight, if they drop tonight, the Nikkei would follow suit tomorrow," said Yutaka Miura, senior technical analyst at Mizuho Securities Co. On the First Section, advancing issues outnumbered decliners 2,055 to 93, while 20 ended unchanged. Among issues that surged after sharp falls on concerns over a possible cancellation of the Tokyo Games, construction company Obayashi rose 96 yen, or 11.4 percent, to 938 yen, while peers Shimizu gained 81 yen, or 10.3 percent, to 867 yen, and Taisei jumped 388 yen, or 13.2 percent, to 3,330 yen. In the real estate sector, Tokyu Fudosan Holdings surged 100 yen, or 19.8 percent to a daily limit high of 606 yen and Mitsubishi Estate jumped 191.50 yen, or 12.7 percent, to 1,695.00 yen. Toyota advanced 666 yen, or 10.7 percent, to 6,919 yen and Nippon Telegraph and Telephone rose 65.50 yen, or 2.7 percent, to 2,503.00 yen after the auto and telecommunications giants revealed a capital tie-up Tuesday to build energy-efficient "smart cities" in which autonomous vehicles transport residents. Trading volume on the main section rose to 2,280.28 million shares from Tuesday's 2,256.86 million shares. ==Kyodo