1st LD Writethru: Tokyo stocks close higher in choppy trade on tech buybacks, Fed policy hopes

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TOKYO, Dec. 7 (Xinhua) -- Tokyo stocks closed higher Friday in choppy trade as investors bought back technology issues oversold the previous day, with sentiment brightened by expectations the U.S. Federal Reserve may pause its monetary tightening policy.

The 225-issue Nikkei Stock Average added 177.06 points, or 0.82 percent, from Thursday to close the day at 21,678.68.

The broader Topix index of all First Section issues on the Tokyo Stock Exchange, meanwhile, gained 9.85 points, or 0.61 percent, higher at 1,620.45.

Local brokers said that shares bounced back as investors bought back technology-related issues on dips, following the sector's sharp retreat a day earlier.

The market gained support in later trade, they added, by defensive shares advancing as they are not as exposed to negative external factors, and as a result issues like land transportation and utilities advanced, strategists here said.

Additionally, investor sentiment was also bolstered by a report suggesting the Fed may slow the pace of interest rate hikes next year after seeing how things pan out in the wake of an expected interest rate hike in December.

By the close of play, retail, land transportation, and service-oriented issues comprised those that gained the most by the close of play, and falling issues beat rising ones by 1,028 to 1,016 on the First Section, while 78 ended the day unchanged.

On the main section on Friday, 1,371.89 million shares changed hands from Thursday's volume of 1,510.21 million shares.

The turnover on the final trading day of the week came to 2,540.6 billion yen (22.51 billion U.S. dollars). Enditem

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