TOKYO, Sept. 8 (Xinhua) -- Tokyo stocks extended gains on Monday, with the rally driven by expectations that the next Liberal Democratic Party (LDP) leader may pursue more expansionary fiscal policies following Prime Minister Shigeru Ishiba's resignation announcement.
The benchmark Nikkei stock index, the 225-issue Nikkei Stock Average, closed at 43,643.81, rising 625.06 points, or 1.45 percent, from the previous session.
Futures buying led the gains, pushing the index more than 800 points higher at one point and briefly above its Aug. 18 record of 43,714.
The broader TOPIX also rose for a third straight day, climbing 32.89 points, or 1.06 percent, to 3,138.20.
Defense-related stocks such as Mitsubishi Heavy Industries rose on expectations of higher defense spending, while real estate shares like Mitsui Fudosan gained amid speculation that political uncertainty may delay Bank of Japan rate hikes. In contrast, bank stocks fell.
On the Tokyo Stock Exchange Prime Market, gainers numbered 1,258, losers 289, and 72 were unchanged. ■
