Japan stocks hit 7-year high, yen continues slide

Tokyo

LAST Friday's surprise monetary easing by the Bank of Japan caused Japanese stock prices soaring further upward on Tuesday while the yen continued to tumble against a strong US dollar when the markets reopened following a holiday on Monday.

The Nikkei 225 stock average broke above 17,000 points to reach its highest level in almost seven years before easing to close 2.7 per cent up at 16,862.47. Analysts expect stock prices to continue climbing, although foreign investors who now dominate equity trading in Tokyo could baulk at the falling yen, some say.