TOKYO, Nov 27 (Reuters) - Japanese stocks rose for a fourth consecutive session on Wednesday as expectations grow for the United States and China to close in on an agreement to scale back their bruising trade war.
At 0148 GMT the Nikkei index was up 0.38% at 23,463.22, with advancers including automakers and retailers in the consumer discretionary sector. So far this year, the index is up 16.78%.
Japanese shares extended gains, in line with a rally in equities globally, after U.S. President Donald Trump said on Tuesday that Washington was in the “final throes” of work on a deal that would defuse a 16-month trade war with Beijing.
Trump’s optimistic comments came one day after top negotiators from the two countries spoke by telephone and agreed to keep working on remaining issues.
Domestically, Japanese stocks also drew support from the growing chance of extra fiscal stimulus. A senior ruling party official on Wednesday said he believes the government is striving to compile a stimulus spending package worth around 10 trillion yen ($92.05 billion).
Japanese politicians have been calling for more fiscal spending to revive slowing growth.
There were 166 advancers on the Nikkei index against 56 decliners on Wednesday.
The largest percentage gainers in the index were semiconductor manufacturing equipment maker Screen Holdings Co Ltd up 3.87%, followed by property developer Tokyo Tatemono Co Ltd gaining 3.01% and audio component maker Yamaha Corp up by 2.99%.
The largest percentage losses in the index were Shinsei Bank Ltd down 1.87%, followed by advertising agency Dentsu Inc losing 1.60% and Internet services firm Z Holdings down by 1.57%.
The Topix index rose 0.33% on Monday to 1,711.26.
The volume of shares traded on the Tokyo Stock Exchange’s main board was 0.41 billion, compared to the average of 1.29 billion yen in the past 30 days. ($1 = 108.6400 yen)
Reporting by Stanley White; Editing by Christopher Cushing