Japanese Shares Rally on Tech Boost

Japanese Shares Rally on Tech Boost

The Nikkei 225 Index jumped 2% to above 67,000, while the broader Topix Index gained 1% to 4,055 on Wednesday, extending the previous session’s advance as semiconductor stocks tracked a strong rally on Wall Street.

Chipmakers supported the broader market after robust export data from Taiwan and South Korea boosted confidence in the sector.

Super Micro Computer also soared in extended trading after announcing a record order backlog driven by strong demand for its AI-optimized servers.

Leading technology gainers in Japan included Kioxia Holdings (8.2%), SoftBank Group (4.1%), Murata Manufacturing (6.9%), Taiyo Yuden (11%), and Advantest (4.3%).

Meanwhile, the Japanese yen sank to a fresh 40-year low as higher oil prices, a stronger US dollar, and rising Treasury yields continued to weigh on the currency.

On the data front, Japan’s trade balance shifted to a deficit in June as import growth outpaced exports.

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