The Nikkei 225 rose 0.2% to above 64,700 on Monday, while the broader Topix gained 0.6% to 4,035, partially reversing losses from the previous session. The rebound came as oil prices fell sharply after the US refrained from launching strikes on Iran over the weekend and Tehran suspended its retaliatory operations. Japan’s heavy reliance on Middle Eastern crude makes its economy especially vulnerable to supply disruptions and volatility in oil prices.
Domestically, support for Prime Minister Sanae Takaichi slipped, as government measures to ease inflation continued to undershoot household expectations. Among individual movers, Mitsubishi UFJ climbed 0.9%, SUMCO Corp advanced 6%, Nintendo gained 4.1%, Toyota Motor added 1.6% and Fast Retailing rose 1%. In contrast, technology shares traded mixed, reflecting the tech selloff on Wall Street on Friday amid growing concerns about the scale and sustainability of massive AI-related spending.
