Japan's stocks rose sharply on Tuesday as immediate concerns about trade frictions between the United States and China abated, helping trade-exposed sectors such as chip manufacturers, and following a firm lead from US futures.
The Nikkei ended 2.7 per cent higher at 21,317.32.
In U. stock futures markets, Dow e-minis were up 122 points, S&P 500 e-minis rose 11.25 points and Nasdaq 100 e-minis gained 37 points.
Tech stocks outperformed, with semiconductor equipment makers
Japanese stocks, particularly the tech sector, were battered last week after US President Donald Trump had decided to impose tariffs on Chinese goods.
Chinese Premier Li Keqiang had said on Monday China and the United States should maintain negotiations, reiterating pledges to ease access for American businesses.
Other cyclical stocks such as exporters gained ground after the dollar rose 0.2 per cent to 105.59 yen.
Construction equipment maker Komatsu soared 5.1 per cent, Panasonic surged 5.0 per cent and Toyota Motor Corp gained 3.8 per cent.
The broader Topix advanced 2.7 per cent to 1,717.13.