The Tokyo market rose Thursday as investors bought export-oriented issues on a weaker yen, dpa reported.
Buying was also spurred by a report the previous day about a government plan to use public funds to buy stocks to avoid further declines in share prices.
The benchmark Nikkei 225 Stock Average extended its gains from Wednesday, rising 99.09 points, or 1.33 per cent, in morning trading to 7,560.31.
The broader Topix index of all first section issues also rose for a second day, up 4.67 points, or 0.63 per cent, at 750.29.
On currency markets at 9 am (0000 GMT), the dollar traded at 97.41-46 yen, up from Wednesday's 5 pm quote of 97.15-18 yen. A weaker yen helps boost overseas earnings of Japanese firms.
The euro was quoted at 1.2720-25 dollars, down from late Wednesday's quote of 1.2871-74 dollars, and at 123.93-98 yen, down from 125.07-11 yen.
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