By Kevin Buckland
TOKYO (Reuters) – Japan’s Nikkei share average hit a record high on Thursday and the yen rebounded from a four-month low, after the U.S. Federal Reserve stuck to its easing path despite recent heated inflation readings.
The Fed’s policy direction contrasts sharply with the Bank of Japan, which on Tuesday ended eight years of extraordinary stimulus measures with its first rate hike since 2007.
However, BOJ Governor Kazuo Ueda reiterated that policy would remain broadly accommodative for the time being, in comments to parliament on Thursday.
Japanese government bond yields ticked higher amid expectations for tighter policy.
The Nikkei marked a record closing high of 40,815.66, up more than 2% on the day, after also setting a fresh all-time intraday peak of 40,823.32. For the year, it is up 22%, far outpacing an 8% advance for the MSCI world index.
The dollar was last down 0.2% at 150.94 yen, after scaling 151.82 yen on…
