Tokyo stocks closed higher Tuesday, with the benchmark Nikkei stock index extending its winning streak for a sixth day following solid employment-linked data released from the United States late last week lifting the market mood here.

The 225-issue Nikkei Stock Average added 132.80 points, or 0.64 percent, from Friday to end the day at 20,823.51, marking its highest close since July 2015.

The broader Topix index of all First Section issues on the Tokyo Stock Exchange, meanwhile gained 7.98 points, or 0.47 percent, to finish at 1,695.14,marking its highest close since July 2007.

Brokers here said that data late last week from the United States showing that the average hourly earnings of private workers increased more than median economists' forecasts, was cheered by the market here.

They added that the unemployment rate in the United States falling to a fresh 16-year low also buoyed the market mood here and added to optimism about the health of the world's largest economy.

Specifically, traders here said that the wage data suggested that inflation may be rising and thus the U.S. Federal Reserve may hike its rates again soon, which sent the dollar higher versus the Japanese yen -- a boon for exporters here and the broader market.

"The market expects a December rate hike, and the Nikkei has been stabilized as the dollar-yen remains strong," said Yutaka Miura, a senior technical analyst at Mizuho Securities.

Construction, service and retail-linked issues comprised issues that gained the most by the close of play, and rising issues beat falling ones by 1,421 to 523 on the First Section, with 86 ending the day unchanged.

On the main section on Tuesday, 1,485.20 million shares changed hands, rising from Friday's volume of 1,459.79 million shares.

The turnover on the first trading day of the week came to 2,544.2 billion yen (22.58 billion U.S. dollars).

Japanese markets were closed on Monday for a national holiday.