The Nikkei 225 Index Closes 2.53% Higher

The Nikkei 225 Index climbed 2.38% to close at 59,518 on Thursday, hitting a new all-time high as optimism grew around a potential agreement to end the Middle East conflict. Reports indicated Washington and Tehran are considering extending their two-week ceasefire to allow more time for peace negotiations, even as the Strait of Hormuz remains effectively closed under a dual blockade. Japanese equities also followed Wall Street’s record-setting rally overnight, supported by robust bank earnings and renewed interest in technology shares. Tech and AI-related stocks led the advance, with strong gains from SoftBank Group (5.1%), Kioxia Holdings (4.5%), and Fujikura (4.7%). Daikin Industries also surged 9.1% after activist investor Elliott Investment Management disclosed a stake in the company and called for reforms to unlock shareholder value.

The Nikkei 225 Index rose 1472 points or 2.53 percent on Thursday to close at 59606 points. Leading the gains are TDK (13.38%), Trend Micro (10.84%) and Daikin (9.01%).

Asian equity markets advanced on Thursday, tracking a record-setting rally on Wall Street as hopes for renewed negotiations and a longer-term peace deal between the US and Iran lifted investor sentiment. Strong corporate earnings and a resurgence in technology shares further underpinned gains in global equities. Shares in Japan and South Korea led regional gains, fueled by renewed interest in artificial intelligence and related technologies. Hong Kong and Chinese stocks also climbed.