LEAD: Nikkei 225 ends at 5-month high on solid gains in banks.

Japan Weekly Monitor, December, 2004

TOKYO, Dec. 28 Kyodo

(EDS: ADDING DETAILS)

Japan's benchmark Nikkei stock index closed at a five-month high Tuesday on handsome gains in major banks, receiving a tailwind from the release of positive Japanese economic data.

The 225-issue Nikkei Stock Average rose 61.78 points, or 0.54 percent, to close at 11,424.13, its highest closing since July 21 when it ended at 11,433.86. The broader Tokyo Stock Price Index of all First Section issues on the Tokyo Stock Exchange gained 5.58 points, or 0.49 percent, to 1,140.19.

The market opened slightly lower but soon popped into positive territory, led by gains in major banking and other domestic demand-related issues after government reports showed an increase in Japan's industrial output...