Nikkei Rebounds, Strong Exports Lift Japanese Sentiment
Japanese stock indexes rose on Wednesday (February 18th), with the Nikkei 225 rising 1.02% to close at 57,144, while the Topix index surged 1.21% to 3,807. This gain helped the market recover losses earlier in the week, after Japan reported strong export growth—a factor that improved the economic outlook and buoyed investor sentiment.
Politically, Prime Minister Sanae Takaichi was officially re-elected following a decisive election victory. The government's focus now shifts to accelerating budget deliberations and implementing the trade deal reached with US President Donald Trump. Takaichi also confirmed the initial phase of projects for Japan's $550 billion investment commitment linked to the bilateral agreement.
Meanwhile, the IMF urged Japan to continue normalizing monetary policy and avoid fiscal easing, while warning that a consumption tax cut could "erode fiscal space" and increase fiscal risks. Despite the warnings, the market remained solid, with financial sector stocks leading the rally—including Mitsubishi UFJ, Mizuho, and Sumitomo Mitsui, which rose between 0.5% and 2.8%. (alg)
Source: Newsmaker.id
