Japan's benchmark stock index was supported by technology stocks and strong corporate earnings reports, with the Nikkei Stock Average closing at a 34-year high on Tuesday, Zhitong Finance noted the resumption of trading after a long holiday weekend.
The Nikkei closed up 289% to 3796397 points, the highest since January 1990, and briefly broke through 38,000 points during the session.
Composite Index: Topix Index**212%。
Chip industry giant Tokyo Electron opened **1333%, becoming the best performer of the day**. SoftBank (SFTBY.)US) opens**627%, influenced by semiconductor developer Arm (ARMUS) stock price** boosted. SoftBank holds a 90% stake in ARM.
Other biggest gainers** included Tokio Marine Holdings and MS&AD Insurance Group Holdings** 11% and 10% respectively82%。
Japan** was also buoyed by the strong performance of Wall Street and the depreciation of the yen, boosting the value of exporters' overseas earnings.
On the same day, the yen was trading at 149 against the dollarAround 47 yen.
JPMorgan analysts wrote in a note earlier this month: "Taking into account changes in macroeconomic conditions, including the weakening of the yen at the beginning of the year, and the progress of structural reforms, we raised our forecast for Japan** in 2024 (the Topix rose to 2,650 from 2,500 and the Nikkei 225 from 3.).5 points to 37 points). ”
Of the 225 constituents of the index, 196** and 26**.
With the Nikkei climbing to all-time highs, the U.S. Consumer Index (CPI) report due later on Tuesday will be in focus.
Charu Chanana, Head of FX Strategy at Saxo Markets, said"The recent Nikkei move has been more closely linked to the yen, suggesting that any sign of JPY strength after today's US CPI release, or verbal intervention, could tactically disrupt the Nikkei's rally"