Tokyo stocks close nearly 2% higher on U.S. rate pause hope

Tokyo stocks rebounded sharply Friday, with the Nikkei finishing nearly 2 percent higher, as investor sentiment was boosted by renewed hopes the U.S. Federal Reserve would slow interest rate hikes following an increase in weekly jobless claims. The 225-issue Nikkei Stock Average ended up 623.90 points, or 1.97 percent, from Thursday at 32,265.17. The broader Topix index finished 32.82 points, or 1.50 percent, higher at 2,224.32. Gainers were led by wholesale trade, electric power and gas, and pharmaceutical issues.