Tokyo stocks opened higher Friday after an overnight rise on Wall Street, but gains were limited as investors were cautious ahead of

Executives at a leading Japanese bank have apologized and taken pay cuts after police arrested an employee who allegedly stole about $9 million worth of valuables from customers’ safe deposit boxes.

Tokyo's Nikkei 225 index gained 0.3% to 40,074.87 after the central bank raised its benchmark rate to about 0.5% from 0.25%, as widely expected. It is the highest level for the rate since 2008, as the Bank of Japan shifts out of a long spell of extreme low interest rates meant to spur more borrowing and spending.

Consumer inflation in Tokyo likely accelerated in January, underlining persistent pressure on living costs, a Reuters poll showed on Friday.

The average price of a new apartment for sale in the Japanese capital and surrounding areas slipped 3.5% to JPY78 million ($675,500), the first decrease in six years.

Japan's core consumer prices in December rose 3.0 percent from a year earlier, increasing at a faster pace for the second consecutive

Japan's core machinery orders rose 3.4% in November from the previous month to beat analysts' forecast, government data showed on Monday, signalling a recovery in capital expenditure ahead of a central bank interest rate review later this week.

The Bank of Japan has raised its key interest rate to about 0.5% from 0.25%, noting that inflation is holding at a desirable target level.

The return of inflation and wage growth is giving the Bank of Japan room to raise interest rates and declare the end of a long period of stagnation.

It is the highest level since October 2008 as the economy makes steady progress toward the bank’s goal of stable 2% inflation and wage-backed growth.

Bank of Japan Gov. Kazuo Ueda echoed recent comments that have revived market expectations for imminent policy action.