The broader TOPIX index of all first-section shares gained 39.21 points or 2.53 percent to 1,586.96. It was up 2.68 percent for the week
Winners beat losers 1,443 to 187, with 65 stocks unchanged.
Volume rose to 1.65 billion shares from 1.43 billion Thursday.
Looking ahead, Mizutani said the Nikkei index will probably test the 16,000 points mark next week if the Bank of Japan's lastest quarterly Tankan survey of business sentiment due tomorrow shows an upbeat view of the economy.
Seoul
South Korean share prices rose 2.54 percent after the latest US Federal Reserve statement was taken to mean the end may in sight for its two-year credit-tightening cycle, dealers said.
They said foreign investors returned to the market as net buyers for the first time since June 7, aggressively picking up large cap IT and financial stocks, while gains overall were broad-based.
The KOSPI index closed up 32.13 points at 1,295.15, just off the high of 1,295.43. Volume was 223 million shares worth 3.6 trillion won (US$3.79 billion). Rises overwhelmed falls by 634 to 141.
Foreign and institutional investors were net buyers of shares worth 201 billion won and 98.4 billion won while retail investors were net sellers of 343.7 billion won.
"The Fed's comments were dovish, signalling a limit to further tightening. That cleared up the possibility of a sudden downturn in the US economy and lifted the uncertainty in financial markets," Hyundai Securities analyst Lee Sang-Jae said.
Samsung Electronics rose 13,000 won to 603,000.
Hong Kong
Hong Kong share prices closed 2.54 percent higher and back above the key 16,000 points level as interest rate worries eased after the US Federal Reserve's statement overnight suggested it has softened its stance on monetary policy, dealers said.
They said sentiment was also boosted in late trade after major banks HSBC, Hang Seng Bank and Bank of China said they were keeping their prime lending rates unchanged despite a the 25 basis points rate hike by the Fed.
The market was additionally supported by end-June short-covering and window-dressing activity.
The Hang Seng Index closed up 402.40 points at 16,267.62, off a high of 16,273.74. For the week the index was up 458.81 points or 2.90 percent.
Turnover was heavy at HK$40.52 billion (US$5.2 billion).
"The decision of HSBC and Hang Seng Bank to keep their prime rates unchanged, coupled with indications from the Fed of a possible delay in the next rate increase, helped improve buying sentiment significantly," said Howard Gorges, vice chairman at South China Securities.
RSS