Japanese stocks rose as U.S. economic data provided more support for the Federal Reserve to raise interest rates next month, boosting the dollar against the yen.
The Topix index climbed 0.4 percent to 1,601.12 as of 9:01 a.m. in Tokyo, with insurers leading gains while paper makers declined. The Nikkei 225 Stock Average added 0.5 percent to 19,951.19, near a three-month high. The yen traded at 122.69 per dollar after weakening on Wednesday as a report showed U.S. durable goods orders rose more than expected.
The dollar gained after orders for non-military capital goods excluding aircraft rose 1.3 percent, the most in three months. Traders are pricing in a 72 percent chance of a rate hike at the Fed meeting on Dec. 15-16.
E-mini futures on the Standard & Poor’s 500 Index added 0.1 percent after the underlying gauge closed little changed. U.S. trading was light ahead of Thursday’s Thanksgiving holiday in the U.S.