Japan's Nikkei hits closing high as Nvidia earnings boost tech

" were better than expected. So that was definitely positive for Japanese , especially ," said Kenji Abe, equities analyst at .

Japan's tech shares rallied on the news, buoying the Nikkei share average to end up 1.26% at 39,103.22, its highest closing level since April 15.

The broader Topix closed 0.64% higher at 2754.75.

have been among the Nikkei's best performers over the past year, helping the benchmark index climb to a record intraday high of 41,087.75 in March.

Gains were more subdued outside of tech on Thursday as investors remained cautious regarding the Bank of Japan's policy path, analysts said.

Japan's 10-year government bond yield rose to the psychologically significant 1% mark on Wednesday, renewing concerns in the wake of the BOJ's recent hawkish signals, including an unexpected cut to its bond offer amounts last week.

Positive sentiment picked up in the afternoon session, however, with 145 of the benchmark index's 225 constituents advancing.

On Thursday, , which counts Nvidia among its customers, jumped 5.4% to contribute about 78 points to the Nikkei's 486-point gain.

AI-focused startup investor , up 4.3%, and chip-making equipment giant , climbing 1.8%, together added nearly 134 points.

Disco Corp and also surged, gaining 8% and 6.3%, respectively.

Among decliners, videogame maker slid 5.6% to the bottom of the pack, while Chugai Pharmaceutical lost 1.2%. Fellow pharmaceutical firm Daiichi Sankyo was down 0.9%.