Nikkei gains on strong US job data, weaker yen
* Nikkei up 2.1 pct, touches 1-week high
* Exporters lifted as yen pulls back from recent peaks
By Shinichi Saoshiro
TOKYO, Aug 8 (Reuters) - Japan's Nikkei share average rose on Monday, buoyed by gains on Wall Street and the yen's retreat following Friday's upbeat U.S. non-farm payrolls report.
The Nikkei was up 2.1 percent at 16,592.05 points, after touching a 1-week high of 16,612.13.
U.S. non-farm payrolls rose by 255,000 in July versus expectations for a gain of 180,000. The S&P 500 and Nasdaq reached record peaks in response while the dollar gained against the yen.
Norihiro Fujito, senior investment strategist at Mitsubishi UFJ Morgan Stanley Securities, said equities reacted positively to the jobs report as the data shed a positive light on the U.S. economy while prospects of a near-term rate hike by the Federal Reserve - generally seen as a negative to riskier assets - remained subdued.
"The Fed funds rate futures are still only pricing in about a 26 percent chance a U.S. rate hike in September and October, and about a 46 percent chance for December. This shows investors don't really expect the Fed to hike rates until December," Fujito said.
Exporters were lifted as the dollar pulled away from 3-week lows against the yen. Tokyo Electron gained 4.5 percent, Bridgestone Corp advanced 3.2 percent and Toyota Motor Corp added 2.8 percent. Continuación...