The Nikkei 225 Index Closes 1.48% Higher

The Nikkei 225 Index climbed 0.86% to close at 70,062, while the broader Topix Index added 0.32% to 3,995 on Tuesday, extending the previous session’s gains as technology and artificial intelligence-related stocks rebounded. Japanese companies continued to benefit from optimism surrounding the global expansion of AI, supported by their strategic positioning and investments in the sector. Equities also drew support from the yen’s slide to a four-decade low, which improved earnings prospects for the country's export-driven firms. Meanwhile, investors monitored the resumption of US-Iran peace talks in Doha, Qatar, with lower oil prices helping to ease inflation concerns in Japan. Among the top performers were Taiyo Yuden (+8.3%), Tokyo Electron (+3.3%), and Fujikura (+6.0%). The Nikkei and Topix also posted gains for a third consecutive month, rising 5.3% and 1.0%, respectively, in June.

The Nikkei 225 Index gained 1030 points or 1.48 percent on Tuesday to close at 70498 points. Gains were led by Taiyo Yuden (9.40%), Murata Manufacturing (6.98%) and Screen Holdings (6.68%).

The Nikkei 225 Index climbed 1.6% to above 70,500 while the broader Topix Index gained 0.7% to 4,010 on Tuesday, rising for the second straight session even as the yen weakened to its lowest level in four decades, boosting the profit outlook for Japan's export-oriented industries. However, the yen's sharp weakening is raising concerns among policymakers and keeping investors alert for potential currency intervention by Tokyo. Market participants also looked ahead to the resumption of US-Iran peace talks in Doha, Qatar, with lower oil prices helping ease inflation concerns in Japan. On the economic front, Japan’s industrial production increased less than expected in May as tensions in the Middle East continued to threaten supply chains and keep energy costs elevated. Trading was mixed, with Tokyo Electron (+2.2%), Taiyo Yuden (+2.4%), and Fujikura (+3.8%) posting solid gains, while Kioxia Holdings (-2.5%), SoftBank Group (-1.9%), and Advantest (-0.9%) finished lower.