The Nikkei 225 Index Closes 0.38% Lower

The Nikkei 225 Index dropped 240 points or 0.38 percent on Monday to close at 62474 points. Losses were led by Nintendo Co (-8.58%), Softbank (-6.80%) and IHI (-6.54%). Offsetting the fall, top gainers were Konami (9.91%), Ajinomoto (9.22%) and Sony (8.86%).

The Nikkei 225 fell 0.47% to close at 62,418 on Monday, pulling back from record highs as oil prices surged after President Donald Trump rejected Iran’s response to his peace proposal, leaving the Strait of Hormuz effectively shut. Higher energy prices have added to inflation concerns and weighed on sentiment across oil-importing economies such as Japan. Notable declines were seen in SoftBank Group (-6.3%), Advantest (-3.7%), and Furukawa Electric (-3.2%). Nintendo also dropped 8.4% after warning that hardware and software sales are expected to decline and that rising memory chip costs are squeezing margins. In contrast, Sony Group rose 8.3% after announcing plans to repurchase up to ¥500 billion of its shares and forecasting an 11% increase in operating profit for the fiscal year ending March 2027, supported by growth in its music and image sensor businesses.

The Nikkei 225 climbed 0.8% to above 63,200 on Monday, reaching a new all-time high as technology shares powered higher on the back of strong corporate earnings and continued optimism surrounding the artificial intelligence sector. Investors also looked past rising oil prices after President Donald Trump rejected Iran’s response to his peace proposal as “TOTALLY UNACCEPTABLE,” leaving the Strait of Hormuz effectively closed. Leading gains among technology stocks came from Kioxia Holdings (9.8%), SoftBank Group (2.1%), Lasertec (4.2%), Fujikura (4.8%), and Tokyo Electron (2.1%). In corporate developments, Sony Group surged 10.5% after unveiling plans to buy back up to ¥500 billion of its shares and forecasting an 11% rise in operating profit for the fiscal year ending March 2027, supported by steady expansion in its music and smartphone image sensor businesses.