Nikkei Sets Record, Japanese Yield Reaches Highest Level Since 1999
Japan's Nikkei index closed up 1.3% to a new record of 52,518.08, supported by a rally in bank and securities stocks. This gain came amid market confidence that the Bank of Japan (BOJ) would continue its gradual interest rate hikes, making the financial sector a key driver of the rally.
Bank and brokerage stocks led the surge, with Mizuho Financial Group rising 5.1% and Daiwa Securities Group gaining 5.9%. The euphoria previously centered on semiconductor stocks also spread to other sectors, including metal and machinery manufacturers. Sumitomo Metal Mining surged 6.3%, while Hitachi surged 7.4%, reflecting a shift in investor interest toward cyclical and industrial stocks.
In the bond market, the 10-year JGB yield rose 1.5 bps to 2.130%, its highest level since February 1999—a signal of strengthening expectations for higher interest rates. Investors are also focusing on Prime Minister Sanae Takaichi's policy measures to boost economic growth. Meanwhile, USD/JPY was at 156.41, relatively stable compared to 156.40 on Monday afternoon Eastern Time. (az)
Source: Newsmaker.id