Tokyo stocks open 1.66 pc higher

TOKYO: Japanese shares opened sharply higher on Monday, up 1.66 percent following a jump in the dollar against the yen after G20 officials signalled their approval of Japan's aggressive monetary easing.

The Nikkei 225 index at the Tokyo Stock Exchange rose 220.69 points to 13,537.17 at the start.

The Group of 20 economic powers gave a cautious endorsement Friday of Japan's huge monetary stimulus programme, agreeing it was necessary to boost the country's stagnant economy.

In a statement following their meeting in Washington, G20 finance chiefs said Japan's policy actions "are intended to stop deflation and support domestic demand".

Many countries, including the United States, have expressed concern that Japan could be deliberately trying to force the yen lower to boost exports and cut imports via "competitive devaluation".

But the G20, which includes both the United States and Japan, called for more efforts to stimulate "strong, sustainable and balanced" growth globally, and took note of Japan's efforts towards that.

Following the G20 statement, the dollar jumped in New York, nearing the 100-yen level. It stood at 99.77 yen in early Asian trade Monday against 99.52 yen in New York late Friday.

The euro fetched $1.3060 and 130.30 yen, against $1.3057 and 129.94 yen. The Dow Jones Industrial Average rose 10.37 points (0.07 percent) to 14,547.51 on Friday. The index rallied after spending much of the day in the red.