Japanese shares open 1.74 percent higher

Tokyo: Japanese shares opened higher today after Germany and France said that they were convinced that debt-ridden Greece's future lay in the eurozone.

The benchmark Nikkei 225 index at the Tokyo Stock Exchange added 147.90 points, or 1.74 percent, to reach 8,666.47 in the first 10 minutes of trading.

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Global investors were encouraged by German Chancellor Angela Merkel and French President Nicolas Sarkozy, who gave a vote of confidence to Greece, said Kenichi Hirano, operating officer at Tachibana Securities.

The gains in Tokyo came after US markets rallied yesterday.

The Dow Jones Industrial Average jumped 1.27 percent. The broader S&P 500 climbed 1.35 percent, while the tech-heavy Nasdaq Composite rallied 1.60 percent.

But investors would continue to pay close attention to the euro's movements as well as other Asian bourses, analysts said.

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The euro bought $1.3745 in early Asian trade, nearly flat from $1.3750 in New York yesterday. The common currency stood at 105.47 yen against 105.44 in New York.

Meanwhile, the dollar bought 76.71 yen, also little changed from 76.64 yen in New York.