Japan's Nikkei average rose 1 per cent to an 18-month closing high today, with commodity-linked shares such as Mitsubishi Corp climbing following a rise in commodity prices.
The benchmark Nikkei gained 110.67 points to 11,097.14, its highest close since October 2008. It also hit an 18-month intraday high of 11,108.82. The broader Topix gained 1.4 per cent to 979.58.
Asian stock markets in general rose as the weak US dollar spurred overnight gains in commodities, boosting commodity-linked stocks in the region.
European stock markets were expected to open slightly firmer on Asian and US gains, with energy shares supported by rising oil prices.
Crude oil futures held above $82 a barrel today after reaching the highest level in almost two weeks the previous day on optimism about the global economic recovery and ahead of key US inventory data.
Markets were also underpinned by news that US consumer spending rose for a fifth straight month in February, implying that its consumption may be strong enough to keep its recovery going.
The euro was trading more or less flat against the dollar at $1.3483 after rebounding from a 10-month low below $1.33 last week, mainly on short covering ahead of the quarter's end.
The euro was also supported by Greece's successful sale of €5 billion of bonds, the first test of investor appetite since European powers last week agreed to a financial safety net for Athens as its battles a debt crisis.
Reuters