Tokyo, March 4 - Japanese shares rose strongly in Friday morning trading following an overnight rally on Wall Street bolstered by positive US employment reports and retreating oil prices.

The benchmark Nikkei 225 Stock Average gained 165.35 points, or 1.56 percent, to trade at 10,751.37 while the broader Topix index was up 11.33 points, or 1.19 percent, at 960.02.

Export-oriented shares got a boost as the yen fell against major currencies, hovering around the mid-82-yen level to the dollar.

A weaker yen makes Japanese goods less expensive overseas and improves repatriated earnings.

US stocks soared Thursday as weekly claims for jobless benefits fell unexpectedly and the price of oil dropped.

The price of crude oil in New York was down for the first time in three days, declining 0.38 percent to $101.84 per barrel, amid reports that Venezuela could mediate in the Libyan conflict.

On currency markets at 9 a. m. (0000 GMT), the dollar traded at 82.37-41 yen, up from Thursday's 5 p. m. quote of 81.88-89 yen.

The euro traded at $1.3955-3958, up from $1.3868-3869 Thursday, and at 114.95-115.02 yen, rising sharply from 113.55-59 yen. (IANS)