TOKYO (Kyodo) -- Tokyo stocks soared Wednesday on the yen's plunge that lifted exporters, as investors increasingly priced in a possible win for Republican nominee Donald Trump in the U.S. presidential election.

The U.S. dollar climbed sharply to hit a three-month high of 154.38 yen in Tokyo after U.S. media reports said that early vote counts in some key battleground states showed Trump leading his Democratic rival, Vice President Kamala Harris.

The 225-issue Nikkei Stock Average ended up 1,005.77 points, or 2.61 percent, from Tuesday at 39,480.67, after briefly surging over 3 percent. The broader Topix index finished 51.66 points, or 1.94 percent, higher at 2,715.92.

On the top-tier Prime Market, gainers were led by bank, machinery and insurance issues.

Trump's plans for tax cuts and tighter immigration controls are believed to increase inflationary pressure in the United States and strengthen the dollar against the yen, dealers said.

At 5 p.m., the dollar fetched 153.93-95 yen compared with 151.56-66 yen in New York and 152.27-28 yen in Tokyo at 5 p.m. Tuesday.

The euro was quoted at $1.0733-0734 and 165.22-26 yen against $1.0924-0934 and 165.62-72 yen in New York and $1.0888-0890 and 165.80-84 yen in Tokyo late Tuesday afternoon.

The yield on the benchmark 10-year Japanese government bond rose 0.050 percentage point from Tuesday's close to 0.980 percent, amid bets of higher long-term U.S. Treasury yields if Trump wins the presidency.

Shares opened higher and expanded in tandem with the yen's depreciation, which boosts exporters' overseas profits when repatriated, with sentiment also lifted by advances in U.S. stocks during after-hours trading.

Financial markets saw the so-called "Trump trade," characterized by higher Treasury yields, rising stocks and a stronger dollar, said Seiichi Suzuki, chief equity market analyst at the Tokai Tokyo Intelligence Laboratory Co.

"But market players behind today's moves were mostly short-term investors taking an orthodox investment strategy," he said. "Many investors were waiting to see if this momentum continues in the U.S. market tonight."