Japan’s Nikkei 225 Stock Average climbed Tuesday as a rally in technology companies helped push the blue-chip gauge to its highest level since the nation’s bubble economy era more than three decades ago.
The gauge rose 1.2% to close at 33,763.18 in Tokyo, a level unseen since March 1990, after the Nasdaq 100 Index rebounded from last week’s slump and U.S. Treasury yields dropped. The benchmark Topix index, which some funds prefer to follow because it’s more comprehensive, gained 0.8%.
The Nikkei 225’s fresh three-decade high wasn’t a surprise given that "Japanese stocks have been cheap for a long time, along with corporate governance reforms and the effect of Warren Buffett from last year,” said Ayako Sera, a market strategist at Sumitomo Mitsui Trust Bank, referring to the Berkshire Hathaway chairman's increasing his stockholding in Japanese trading firms.