国际英语新闻：Tokyo stocks climb as eurozone fears recede

TOKYO, June 11 (Xinhua) -- Japan's Nikkei climbed sharply Friday as gains on Wall Street lifted investor sentiment and signs that Europe's debt crisis may be receding encouraged buying as the yen retreated against the euro.

The 225-issue Nikkei Stock Average rose 162.60 points, or 1.7 percent to close the week at 9705.25, whilst the broader Topix index of all the Tokyo Stock Exchange First Section issues gained 9.65 points, or 1.1 percent to 866.44.

Brokers said a number of positive factors emanating from the eurozone buoyed investor sentiment Friday, such as the central bank forecasting an economic expansion of nearly 1 percent in the region, up from previous estimates of 0.8 percent.

The European Central Bank (ECB) raised its forecast in the eurozone for this year and cut it for 2011, saying it predicts the economy will expand around 1 percent in 2010 compared with a previous forecast of about 0.8 percent, according to a statement by Jean-Claude Trichet, head of the ECB.

He added, however, that Europe's economy will continue to grow about 1.2 percent in 2011, lower than an earlier projection of around 1.5 percent because of weaker domestic demand.

"The ECB reminded investors that the real global economy is on a recovery trend," said Kenji Sekiguchi, general manager of strategic research and investment at Mitsubishi UFJ Asset Management Co., who added that, "Investors had been focused on Greek issues."

"Sentiment was bright from the start as U.S. stocks performed well overnight," said another Tokyo-based analyst. "The sharp rise in trading volume shows the potential for investors' risk appetite to return and for more stocks to be bought -- provided the cues coming for Europe are positive."