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Nikkei surges 1.4 pct above 9,500 after China's easing

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Japan's Nikkei share average advanced 1.4 percent on Monday to trade above 9,500 for the first time in more than six months, encouraged by China's move to stimulate growth by cutting the amount of cash banks must hold in reserve. Coupled with receding concerns about chances of a near-term Greek debt default, this helped put the market into a so-called "risk-on" mode, with investors picking up riskier assets and cutting back defensive positions. Nicholas Smith, Japan strategist at CLSA, said the rally had further to go and it was not time to take profits. "You are not going to get vertigo when you are at the bottom rung of the step ladder. Japan has come down so far. It is absolutely at extreme valuations," he said. (Reuters)

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