Japan's Nikkei closed its highest level in almost five years on Monday as the yen weakened to within striking distance of the key 100-level against the greenback, while other Asian stock markets rose after world equity markets rebounded last week from a sharp sell-off.
The Nikkei 225 rallied as much as 2 percent to hover at the 13,600 level and Australia's benchmark S&P ASX 200 ticked up 0.7 percent. South Korea's Kospi closed above the 1,910 mark but the Shanghai Composite retreated from a near three-week high hit on Friday.
The yen's descent to 99 per dollar was spurred after the Group of 20 (G-20) nations over the weekend refrained from criticizing Japan's stimulus program, giving the Bank of Japan the green light to go ahead with its currency depreciation plan.
"Traders were happy to hear this support, or at least the lack of an attack, on what had been seen as the aggressive policy at the heart of Abenomics," said Jason Hughes of CMC Markets in a note.