Nikkei rises 0.4% and Topix gains 1.2% as yen strengthens
Nikkei 225 rose 0.4% to above 64,500 and Topix climbed 1.2% to 4,130 on Thursday, tracking Wall Street gains after bond-yield pullback. Financials led, with Mitsubishi UFJ up 2.6%, Sumitomo Mitsui 2.7% and Mizuho 2.3%.
The Nikkei 225 Index rose 0.4% to above 64,500 while the broader Topix Index climbed 1.2% to 4,130 on Thursday, recouping some losses from the previous session and tracking gains on Wall Street overnight as a pullback in global bond yields provided some relief.
Oil prices also halted their rally after President Donald Trump said the latest attacks on Iran would be short-lived, easing inflation concerns.
Meanwhile, traders kept a close watch on the yen after it rallied sharply amid speculation of a rate check and possible intervention by authorities.
A stronger yen weighs on the earnings outlook for Japan’s export-heavy industries and makes domestic assets more expensive for foreign investors.
Financial stocks led the rebound, with notable gains from Mitsubishi UFJ (2.6%), Sumitomo Mitsui (2.7%) and Mizuho Financial (2.3%).