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Japan's Nikkei rose to its highest close in nearly two weeks on Wednesday, with technology heavyweights leading the rally, after Wall Street closed sharply higher overnight on strong retail sales data.
The Nikkei share average closed 0.94% higher at 26,911.20 after briefly crossing the 27,000 level. It marked its highest close since May 6, as well as fourth straight session of gains. The broader Topix rose 0.96% to 1,884.69.
Wall Street finished sharply higher overnight, lifted by Apple, Tesla and other megacap growth stocks, after strong April retail sales data eased worries about slowing economic growth.
"U.S. retail sales were firm despite tightening monetary policy, which lifted the stock market. Japanese markets followed that but this seems to be a short-term rebound," said Ikuo Mitsui, a fund manager at Aizawa Securities.
"There will be concerns whether the Federal Reserve can make a soft landing as they maintain their hawkish stance. The market will remain volatile for a while."
Chip-making equipment maker Tokyo Electron provided the biggest boost to the Nikkei, rising 2.86%, followed by information technology services provider NTT Data, which jumped 4.35%, and camera and audio equipment maker Sony Group, gaining 2.95%.
Renesas Electronics rose 3.73% after the chip maker said it would invest 90 billion yen ($697.35 million) in a shuttered factory to produce semiconductors.
Soy sauce maker Kikkoman fell 3.33% and was the biggest drag on the Nikkei, followed by Uniqlo clothing shop owner Fast Retailing, which slipped 0.33%.
There were 165 advancers on the Nikkei index against 57 decliners. The volume of shares traded on the Tokyo Stock Exchange's main board was 1.33 billion, compared with the average 1.25 billion in the past 30 days.
($1 = 129.0600 yen)
(Reporting by Junko Fujita; Editing by Subhranshu Sahu)