Nikkei Index Shoots Up Over 1,000 Points

Nikkei index shoots up over 1,000 points

Share prices on the Tokyo Stock Exchange roared back on Tuesday after three trading days of declines.

The benchmark Nikkei Average ended the day up 1,051 points from Monday's close at 22,582, marking the year's third-largest daily gain.

The broader TOPIX index was up 62 points to 1,593.

Investors were encouraged by reports that the US administration of President Donald Trump is preparing a large-scale infrastructure plan to help boost the economy. Another factor is the Bank of Japan's decision to expand to over one trillion dollars its program to support corporate financing.

A market analyst says investors rushed to buy back shares after the Nikkei index shed more than 1,500 points over the three previous trading days.

The analyst warns that stock prices will likely remain unstable due to persistent fears over a second wave of coronavirus infections in Japan and other countries, where economic activities have resumed.