国际英语新闻：Nikkei closes up 1.55% on upbeat global economic data

TOKYO, Sept. 10 (Xinhua) -- Tokyo stocks advanced Friday, with the key Nikkei stock index gaining 1.55 percent as upbeat domestic economic data, as well as that from the U.S. and China, coupled with a slightly softer yen against the U.S. dollar, lifted investor sentiment on the last trading day of the week.

Brokers said that news early on that the Incubator Bank of Japan, a lender for small businesses, had for bankruptcy proceedings, had little affect on the market, aside from consumer lenders and a few small affiliates and that the market was largely being buoyed by the U.S. jobless claim figures.

According to the U.S. Labor Department figures, initial claims for unemployment benefits in the U.S. fell by 27,000 to 451,000 last week, a far larger drop than most economists had predicted.

"Recovery in corporate earnings in the U.S. is driving an increase in employment in the private sector," said one Tokyo- based strategist. "Concern about the economy has eased."

Further lifting the market mood Friday was the Cabinet Office revising upwards Japan's gross domestic product (GDP), brokers said.

The nation's GDP stood increased a revised 0.4 percent in April-June from the previous quarter, the Cabinet Office said in a report on Friday. The revised figure matched economists' median forecast and beat the preliminary reading of a 0.1 percent increase and equal a 1.5 percent annualized increase.

"The GDP figure slightly eased concerns that Japan's economy will falter, but it didn't cause us to change our outlook that the economy remains in a mild slowdown in terms both domestic and overseas demand," Mitsumaru Kumagai, chief economist at Daiwa Institute of Research in Tokyo was quoted as saying.

Market players said investors also took heart in the governments new 915 billion yen (10.91 billion U.S. dollars) stimulus package unveiled Friday.

The new package is expected to boost real gross domestic product by about 0.3 percent and create some 200,000 jobs.

The government said in an official statement it "will take decisive actions, including market intervention, when necessary" to stem the yen's rise against other major currencies while expressing hope that the Bank of Japan (BOJ) will take "additional necessary policy responses to beat deflation in close collaboration with the government."

The government will also encourage Japanese firms to spend more capital in domestic markets. This is due largely to fears that the rising yen is forcing large companies to turn to overseas markets for cheaper labor and other costs.

The yen depreciated to as much as 84.29, compared with 83.64 against the dollar at the close of stock trading in Tokyo yesterday and fell to 106.80 from 106.16 against the euro.