The benchmark Nikkei 225 index added 1.08 percent, or 426.09 points, to 39,773.13 while the broader Topix index ended up 0.97 percent, or 26.37 points, at 2,754.69.
The Japanese market was supported by “rallies in US tech shares“, while the yen softened slightly, IwaiCosmo Securities said.
The dollar fetched 151.88 yen, against 151.85 yen in New York and 151.78 yen in Tokyo on Monday.
A weaker yen benefits exporters, though investors are keeping tabs on movements in forex markets after Japanese officials said they were ready to intervene if there are excessive movements in the country’s currency.
Some predict the 152 level could be the catalyst for authorities to step in.Traders were waiting for key US consumer price readings due Wednesday that could play a big role in the Federal Reserve’s decision-making heading to its next policy meeting.Wall Street stocks finished flat Monday, but the tech-rich Nasdaq Composite Index nudged higher and the Philadelphia Semiconductor Index also closed up.
In Tokyo, semiconductor-linked shares were higher, with Tokyo Electron jumping 3.53 percent to 38,990 yen and Advantest rising 1.06 percent to 6,031 yen.
Shin-Etsu Chemical jumped 4.44 percent to 6,467 yen after the Nikkei business daily reported that the firm would build its first new plant to make chip materials in Japan in 56 years.
Toyota advanced 2.11 percent to 3,776 yen, while Nippon Steel added 0.78 percent to 3,630 yen.