This file photo shows the Tokyo Stock Exchange. (Mainichi)

       TOKYO (Kyodo) -- Tokyo stocks ended sharply higher Thursday, led by heavyweight technology issues, as investors took more risks amid relief that the U.S. Federal Reserve's policy meeting met market expectations.

       The 225-issue Nikkei Stock Average ended up 606.6 points, or 2.13 percent, from Wednesday at 29,066.32, its highest close since Nov. 25. The broader Topix index of all First Section issues on the Tokyo Stock Exchange finished 28.98 points, or 1.46 percent, higher at 2,013.08.

       Every industry category gained ground except for pulp and paper issues, with marine transportation, precision instrument and mining issues leading the way.

       The U.S. dollar stayed firm in the lower 114 yen range in Tokyo, climbing from the upper 113 yen level overnight as U.S. Treasury yields rose after the Federal Reserve signaled three interest rate hikes next year and decided to withdraw its bond purchases faster than earlier planned, dealers said.

       At 5 p.m., the dollar fetched 114.11-12 yen compared with 114.00-10 yen in New York and 113.73-74 yen in Tokyo at 5 p.m. Wednesday.

       The euro was quoted at $1.1306-1307 and 129.02-06 yen against $1.1290-1300 and 128.76-86 yen in New York and $1.1264-1266 and 128.11-15 yen in Tokyo late Wednesday afternoon.

       The yield on the benchmark 10-year Japanese government bond fell 0.005 percentage point from Wednesday's close to 0.040 percent, as investors bought the debt after a 20-year issue auction by the Finance Ministry was well received. Bond yields move inversely to prices.

       Tokyo stocks were sharply higher from the outset, tracking overnight gains on Wall Street. Investors, who had taken a wait-and-see approach ahead of the two-day meeting of the U.S. central bank, purchased a wide range of issues.

       The Fed decided during its policy meeting through Wednesday to roll back its support for the pandemic-hit economy faster than previously scheduled amid concerns over rising inflation.

       The U.S central bank also hinted at three interest rate hikes next year, but the move did not have a negative impact on the market as it was already anticipated by investors, dealers said.

       "Fed Chairman (Jerome) Powell expressed confidence that the economy of the United States will grow even though it is still necessary to be cautious of the risks of the Omicron COVID-19 variant," said Norihiro Fujito, senior investment strategist at Mitsubishi UFJ Morgan Stanley Securities Co.

       He added that the Japanese market will continue tracking any gains on Wall Street.

       Fujito meanwhile said the outcome of the Bank of Japan's two-day policy meeting that began Thursday will have a "very limited impact" on the stock market as there will likely be no major policy changes.

       The market was additionally supported by technology shares, including those of chip-manufacturing equipment makers, which advanced on overnight gains in their U.S. counterparts.

       Tokyo Electron rose 1,910 yen, or 3.1 percent, to 63,280 yen, while Advantest was up 540 yen, or 5.4 percent, to 10,590 yen and Lasertec surged 1,710 yen, or 5.6 percent, to 32,070 yen.

       On the First Section, advancing issues outnumbered decliners 1,676 to 421, while 87 ended unchanged.

       Volume on the main section rose to 1,053.52 million shares from Wednesday's 990.23 million shares.

       Font Size S M L Print Timeline 0