The Nikkei 225 Index Closes 1.21% Higher

The Nikkei 225 Index went up by 791 points or 1.21 percent on Thursday to close at 66118 points. The rise was led by Sumitomo Metal Mining (10.87%), Toho Zinc (10.71%) and Sumitomo Dainippon (8.29%).

Asian equity markets rebounded on Thursday as global bond yields pulled back from multi-year highs after the US government moved to rein in long-term borrowing costs by expanding its buyback program. The US Treasury Department announced it would more than double repurchases of 10-, 20- and 30-year debt over the coming months after the US 30-year Treasury yield surged to its highest level since 2007 earlier this week. Sovereign yields across major Asian economies also eased, with Japan’s 10-year yield retreating from a 30-year high. South Korea’s KOSPI surged around 6% as chipmakers rebounded sharply, while Japan’s Nikkei gained 1%. Shares in Australia, China and Hong Kong also advanced.

The Nikkei 225 Index climbed 1.36% to close at 66,217 while the broader Topix Index advanced 1.18% to 4,060 on Thursday, snapping a two-day decline as Japanese shares tracked a positive lead from Wall Street amid a pullback in global bond yields from multi-year highs. The US Treasury Department said it will more than double repurchases of 10-, 20- and 30-year debt over the coming months after the 30-year Treasury yield surged to its highest level since 2007 earlier this week. Japan’s 10-year government bond yield also eased to around 2.84% after hitting a 30-year high of 2.95% earlier this week. Meanwhile, data showed Japan’s trade deficit widened sharply in July as imports surged to a record high on increased crude oil purchases, while export growth remained robust, supported by strong demand for AI-related chips. Notable gains came from index heavyweights including Kioxia Holdings (6%), Advantest (1%), SoftBank Group (3.1%), Nintendo (2.4%) and Toyota Motor (4.3%).