Nikkei Breaks 55,000, Tech Stocks Lead Japanese Stock Gains
Japanese stocks rallied again on Wednesday, posting gains for the second consecutive session. The Nikkei 225 index surged 2.1% to break through the 55,000 level, while the broader Topix index rose 1.6% to 3,723. This gain was driven by falling oil prices, which helped ease market concerns about the risk of rising inflation.
Oil prices fell further after the International Energy Agency proposed the largest oil reserve release in history. This move is said to surpass the 182 million barrels released in 2022 during Russia's invasion of Ukraine. The decline in energy prices has also boosted investor appetite for riskier assets, including stocks.
Japanese technology stocks led the gains after Oracle surged nearly 9% in follow-up trading, supported by strong earnings and growing optimism about the artificial intelligence sector. Several stocks that recorded significant gains included Kioxia Holdings, which rose 6.3%, SoftBank Group 5%, and Fujikura 4.8%.
Furthermore, Nintendo surged 6% after filing a formal complaint seeking a refund for tariffs imposed by the United States. Meanwhile, Japan Display surged 30% after reports emerged that the US and Japan were considering plans to build a display factory in the United States. Overall, the combination of falling oil prices and strong tech sentiment provided a significant boost to the Japanese stock market. (asd)
Source: Newsmaker.id
