Tokyo  - The Tokyo market rose Thursday as investors bought export-oriented issues on a weaker yen.

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.

The stock of Dr Reddy's (DRL) has fallen 8% in the past month to Rs 397.90 per share compared with a 1.7% increase in the BSE Sensex. 

Lack of clarity on execution of the 33 contracts (across eight products) on the Allgemeine Ortskrankenkassen (AOK) tender due to legal challenges has weighed heavy on the stock in recent past. The eight products are likely to enjoy relatively lesser margins, but volumes are expected to increase. Supplies begin in March 2009 and are valid for two years, but completion of the tender may be delayed. 

Some European players could pose legal hurdles, questioning the terms used to award contracts by AOK. DRL has not bagged contracts for any of its top 10 products under the AOK tender.

Tokyo - Tokyo stocks bounced back Wednesday after Wall Street's overnight rally.

The benchmark Nikkei 225 Stock Average rose 115.35 points, or 1.59 per cent, to 7,383.91.

The broader Topix index of all first-section issues was up 7.58 points, or 1.04 per cent, at 737.86.

Exporters were helped by the US dollar's advance against the yen, as a weaker currency helps boost Japanese companies' earnings.

On currency markets at 9 am (0000 GMT), the dollar traded at 96.52-57 yen, up from Tuesday's 5 pm quote of 95.35-37 yen.

The stock of Dr Reddy's (DRL) has fallen 8% in the past month to Rs 397.90 per share compared with a 1.7% increase in the BSE Sensex.

Wellington  - The New Zealand stock market - the first in the world to open every day - bounced back from a five-year low on Wednesday following the recovery overnight on Wall Street.

The benchmark NZX-50 index, which fell below 2,500 on Tuesday for the first time since January 2004, gained 42 points to 2,530, a rise of 1.7 per cent, in morning trading.

New York - US stocks made their strongest gains in a month Tuesday after Federal Reserve Chairman Ben Bernanke said that government action could pull the US economy out of a severe recession by later this year.

Testifying to the US Senate Banking Committee, the central bank chief said that the success of the 787-billion-dollar stimulus package would be essential to ending a downward economic spiral.