Nikkei closes up 0.7%

<p>The Nikkei closed at near a five-year high.</p>

The Nikkei index closed at a new five-year high today (April 10th) after yet another day of solid gains on the market.

Comments relating to future monetary policy made recently by the Bank of Japan have had a positive impact on the index and it rose by 0.7 per cent.

This means it closed at a higher level than it has since August 2008, ending on 13,288.13. Two of the large companies to boost the Nikkei today were Mitsubishi UFJ Financial Group and Sumitomo Mitsui Financial Group, which were up by five per cent and 6.7 per cent respectively.

"There is a lot of new money coming into the market, a mixture of hedge funds and long money. I would say probably mainly US long money are the top buyers," a senior trader at a foreign bank in Tokyo told Reuters..

Yasuo Sakuma, portfolio manager of Bayview Asset Management, pointed out recently that reflationary stocks have been performing particularly well on the index in the last few days.

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