Tokyo stocks rise after Fed's rate hike eases economic outlook concerns

Tokyo stocks experienced a rise on Thursday morning following the U.S. Federal Reserve's expected interest rate hike, which helped alleviate concerns about the economic outlook. The 225-issue Nikkei Stock Average climbed 43.87 points, or 0.07 percent, to 63,966.87, while the Topix index increased by 29.34 points, or 0.72 percent, to 4,091.06.

The U.S. dollar traded near the lower end of the 156 yen range in Tokyo, with the dollar reaching 156.21-22 yen compared to 156.27-37 yen in New York and 154.97-99 yen in Tokyo at 5 p.m. on Wednesday.

Various sectors of the market saw gains, including game and medical shares, which had previously not been favored due to recent successes in artificial intelligence and semiconductor-related stocks. The decline in West Texas Intermediate crude oil futures also contributed to the positive market sentiment. However, the benchmark Nikkei index did not experience a significant upward surge, as interest rate-sensitive issues struggled to make significant progress.

Additionally, selling in AI- and chip-related shares restricted the index's upside potential, as investors awaited further clues about the Bank of Japan's policy meeting, which commenced later on the same day.