Japan’s Nikkei index advances nearly 4 percent after Abe’s election victory

Japan’s Nikkei index soared nearly 4 percent during the latter part of the trading session, favored by prime minister Shinzo Abe’s coalition victory in elections to the upper house and the progressive decrease in the yen against the US dollar.

The Nikkei index of the Tokyo Stock Exchange today closed with an advance of 601.84 points, or 3.98 percent, to settle at 15,708.82 points.

The second indicator Topix, which groups the values of the first section, gained 45.91 points, or 3.79 percent, and stood at 1,255.79 units.

The ruling Democratic Liberal Party (PLD)’s landslide victory in yesterday’s elections encouraged investors who interpreted the result as a boost for the socalled ‘Abenomics’, the economic reform plan led by the prime minister.

The result of the elections has also fueled expectations for further stimulus measures in the world’s third largest economy, according to Japanese analysts.

The dollar’s appreciation also accelerated against yen, which favors large Japanese exporters.