Heavy Industry Rises, Nikkei Approaches 40,000!
The Japanese stock index, Nikkei 225, opened up 1.0% on Friday (6/28), closing at 39,992.44. This increase was driven by easing market concerns about the spike in energy prices, following the ceasefire between Israel and Iran which began to stabilize the geopolitical situation in the Middle East.
The electronics and heavy industry sectors were the main drivers of the index's strengthening. Tokyo Electron shares jumped 4.7%, Kawasaki Heavy Industries rose 5.1%, and Fanuc rose 3.9%. Investors returned to sectors sensitive to global tensions, after geopolitical risks that previously pressured the market began to subside.
On the other hand, the USD/JPY exchange rate moved slightly to 144.68, from its previous position of 144.60 at the close on Thursday. Investors are currently focused on monitoring further developments in the Middle East and awaiting the release of Japanese domestic economic data for clues to the market's next direction.
Source: (ayu-newsmaker)