The Nikkei 225 Index climbed 1.8% to move above 71,000, while the broader Topix Index advanced 1.6% to 4,078 on Thursday, with both benchmarks setting new record highs after President Donald Trump signed an interim agreement to end the conflict with Iran and reopen the Strait of Hormuz. The deal helped ease concerns about Japan’s economy, which is heavily dependent on energy imports from the Middle East.
Japanese equities also largely ignored an overnight selloff on Wall Street that followed signals from the US Federal Reserve that support is building for a rate hike later this year. Financial stocks led the advance, with notable gains in Mitsubishi UFJ Financial Group (2.8%), Sumitomo Mitsui Financial Group (3.7%), and Mizuho Financial Group (2.7%). Technology shares also strengthened, including Kioxia Holdings (3%), Tokyo Electron (3.5%), and SoftBank Group (4.5%).
