Stocks in Japan Hit 4-week High

The Nikkei 225 Index rose 2979 points or 5.58 percent on Wednesday to close at 56409 points. Leading the gains are Furukawa Electric (17.53%), Advantest (13.27%) and Sumitomo Electric (12.77%).

Asian equity markets surged on Wednesday after the US, Iran and Israel agreed to a two-week ceasefire to allow negotiations for a potential deal to end the war. President Donald Trump delayed planned strikes on Iranian civilian infrastructure in what he called a “double-sided ceasefire,” while Iran agreed to reopen the Strait of Hormuz for two weeks, requiring transit to be coordinated with Iran’s Armed Forces. Shares in South Korea and Japan jumped over 5%, leading regional gains. Australian, Chinese and Hong Kong stocks also advanced.

The Nikkei 225 Index surged 5.39% to close at 56,308, while the broader Topix jumped 3.32% to 3,775 on Wednesday, with both benchmarks hitting over one-month highs after the US, Iran and Israel agreed to a two-week ceasefire to allow negotiations for a potential deal to end the war. President Donald Trump delayed planned strikes on Iranian civilian infrastructure in what he called a “double-sided ceasefire,” while Iran agreed to reopen the Strait of Hormuz for two weeks, stipulating that transit be coordinated with Iran’s Armed Forces. Meanwhile, Prime Minister Sanae Takaichi is seeking separate talks with US and Iranian leaders amid efforts to secure peace and Japan’s energy supplies. Tech stocks led the advance as risk appetite returned, with strong gains from Kioxia Holdings (18.6%), Advantest (13.6%), Fujikura (11.6%), Disco Corp (7.3%) and SoftBank Group (7.2%). Power companies, banks and carmakers also rallied.