FX.co ★ Japanese Shares End Flat Amid Tariff Uncertainty

On Friday, the Nikkei 225 saw a slight increase of 0.06%, closing at 39,811, while the broader Topix experienced a minor decline of 0.04%, settling at 2,828. Both indices ended the day relatively unchanged as heightened concerns over U.S. tariff policy weighed on investor sentiment. Market caution deepened following President Donald Trump's announcement regarding the issuance of letters on trade issues, potentially adjusting tariff rates unilaterally. In prior statements, Trump has threatened to increase tariffs on Japanese goods by up to 35%, expressing dissatisfaction with Japan's limited imports of American rice and automobiles. Domestically, Japan witnessed a 4.7% year-over-year increase in household spending for May, a sharp rebound surpassing expectations as Tokyo intensified efforts to stimulate consumption. Trading results were mixed, with Advantest experiencing notable gains of 1.4% and Mitsubishi UFJ rising by 1.5%, while Disco and Fujikura saw decreases of 2.2% and 2.4%, respectively. Week-over-week, the Nikkei recorded a decline of 0.85%, with the Topix shedding 0.44%.