/www.fxserver.com/ TOKYO (AP) -- Tokyo shares climbed Thursday morning after U.S. shares rose Wednesday on bargain hunting. The dollar rose against the yen.
The benchmark 225-issue Nikkei Stock Average gained 19.81 points, or 0.25 percent, to 7,962.85 points during the morning session. On Wednesday, the average climbed 80.61 points, or 1.03 percent, to close at 7,943.04.
The dollar traded at 118.24 yen on the Tokyo foreign exchange market at 11 a.m., up 0.90 yen from late Wednesday in Tokyo and higher than its New York level late Wednesday of 117.32 yen.
Wall Street's slight rebound gave Tokyo shares a boost at the market opening, lifting bank and selected high-technology and blue chip issues.
Major banks Mitsubishi-Tokyo, Sumitomo Mitsui, UFJ and Mizuho were all higher at the end of the morning session.
The Dow Jones industrial average rose 28.01, or 0.4 percent, to 7,552.07 Wednesday on bargain-hunting after the average pushed near a five-year low.
Traders said Tokyo shares were also supported by reports the government announce a new set of measures later Thursday to support stock prices.
The steps reportedly include plans to ask institutional investors to refrain from lending shares to others and for a relaxation of restrictions on companies buying their own shares.
The broader Tokyo Stock Price Index climbed 2.17 points, or 0.28 percent, to 784.53 points at midday. The TOPIX, which includes all first section issues -- the largest companies on the exchange -- rose 11.74 points, or 1.50 percent, to close at 782.36 points Wednesday.
In currency trade, the dollar rebounded against the euro and the yen after CNN reported U.S. officials said secret surrender negotiations have begun with some Iraqis.
The report, which aired during Thursday morning trade in Tokyo, prompted traders to believe a quicker-than-expected solution to standoff in Iraq may be in the works, reducing the risks for the U.S. economy.
The euro fell to $1.0878 against the U.S. dollar Thursday morning, from $1.1032 late Wednesday. Against the yen, the euro traded at 128.53 yen, down from 129.46 yen late Wednesday.
The yield on Japan's benchmark 10-year government bond rose to 0.7400 from 0.7100 late Wednesday -- a record closing low hit after the Nikkei sank to a 20-year low. Its price fell 0.29 to 100.55.