FX.co ★ Japanese Shares Gain on Trump Announcement

The Nikkei 225 Index climbed 1.9% to around 52,500, while the broader Topix Index advanced 2.5% to 3,570 on Tuesday, snapping a sharp two-day selloff. The rebound followed President Donald Trump’s announcement of a five-day delay in planned strikes on Iranian energy infrastructure and his statement that productive talks with Tehran are underway. Global equities were further supported as oil benchmarks slumped about 10% after the announcement, easing inflation concerns. In Japan, data showed core inflation rose 1.6% in February, the slowest pace since March 2022, reflecting government measures to curb living costs. However, higher energy prices stemming from the Iran war could drive inflation higher in the coming months. Technology stocks led the recovery, with notable gains in Kioxia Holdings (2.8%), Fujikura (5.7%), Advantest (1.7%), Disco Corp (4.3%), and SoftBank Group (2.8%). Banks and automakers also recorded strong advances.