Japan's Nikkei rises more than 1% as US Senate moves to end shutdown

By Junko Fujita

TOKYO, Nov 10 (Reuters) - Japan's Nikkei share average rose more than 1% on Monday, tracking gains in U.S. stock futures on hopes that the historic U.S. government shutdown may end soon.

The Nikkei .N225 climbed 1.26% to close at 50,911.76. The broader Topix .TOPX rose 0.56% to 3,317.42.

"Market players bought stocks as they priced in gains for Wall Street shares later in the day, with hopes that the U.S. government shutdown will be over soon," said Kazuaki Shimada, chief strategist at IwaiCosmo Securities.

S&P EScv1 and Nasdaq futures NQc1 were last up 0.75% and 1.28%, respectively.

The U.S. Senate on Sunday moved forward on a measure aimed at reopening the federal government and ending a now 40-day shutdown that has sidelined federal workers, delayed food aid and snarled air travel.

In Japan, chip-testing equipment maker Advantest 6857.T rose 3.81%, chip-making equipment maker Tokyo Electron 8035.T was up 4.27% and technology investor SoftBank Group 9984.T gained 2.56%.

"These three stocks lifted the Nikkei on Monday, but their momentum was not as strong as last month. However, smaller chip-related shares surged, showing investors' strong appetite for technology stocks," said Shimada.

Chip-maker Kioxia Holdings 285A.T jumped 10.63%. Semiconductor equipment maker Towa 6315.T surged 23.82% to a daily limit high.

Flea market app operator Mercari 4385.T jumped 18.17% after posting a 70% gain in net profit for the quarter ended September 30.

Honda Motor 7267.T fell 4.67% after Japan's second-largest automaker slashed its full-year profit forecast by 21% on Friday. Peer Toyota Motor 7203.T reversed losses to end 0.42% higher.

Of the more than 1,600 stocks trading on the Tokyo Stock Exchange's prime market, 76% rose, 21% fell and 2% traded flat.