The Japanese stock market experienced slight gains in a volatile trading session on Friday, building on the positive momentum from Wall Street. The benchmark Nikkei 225 stayed just below the 39,000 mark, with technology stocks showing strong performance which was partially offset by weaker results in exporter and financial stocks.
The Nikkei 225 Index rose by 35.44 points or 0.09 percent to 38,961.07, after reaching a high of 39,297.59 earlier in the day. The Japanese stock market had closed sharply higher on Thursday.
Market heavyweight SoftBank Group saw a minor decline of 0.3 percent, while Uniqlo operator Fast Retailing edged down by 0.4 percent. Among automakers, Honda and Toyota remained flat.
In the technology sector, Advantest gained more than 1 percent, Screen Holdings added nearly 2 percent, and Tokyo Electron advanced almost 5 percent.
In the banking sector, Mitsubishi UFJ Financial and Mizuho Financial both lost nearly 1 percent each, while Sumitomo Mitsui Financial declined by more than 1 percent.
Among major exporters, Mitsubishi Electric gained almost 1 percent, but Sony dropped nearly 2 percent. Canon edged down by 0.2 percent, and Panasonic slipped by almost 1 percent.
Notable gainers included Fanuc, which surged nearly 6 percent, and Ebara, Shiseido, Lasertec, Sumitomo Metal Mining, Omron, and Daikin Industries, each up almost 5 percent. Hino Motors, OKUMA, and ZOZO gained over 4 percent each, while Kawasaki Heavy Industries and Casio Computer advanced almost 4 percent each. Yaskawa Electric rose more than 3 percent, and SMC was up nearly 3 percent.
Conversely, Recruit Holdings declined by almost 4 percent, and Inpex lost nearly 3 percent.
In economic news, consumer prices in the Tokyo region increased by 2.2 percent year-on-year in September, according to the Ministry of Internal Affairs and Communications. This was in line with forecasts but down from 2.6 percent in August. The Core CPI, excluding volatile food costs, rose by 2.0 percent annually, matching expectations but slowing from 2.4 percent the previous month.
In the currency market, the U.S. dollar traded in the lower 145 yen range on Friday.
On Wall Street, stocks moved up on Thursday following a pullback in the previous session. Despite giving back some gains after an early rally, the major indices finished firmly in positive territory. The S&P 500 rose by 23.11 points or 0.4 percent to a new record closing high of 5,745.37. The Dow advanced by 260.36 points or 0.6 percent to 42,175.11, and the Nasdaq climbed by 108.09 points or 0.6 percent to 18,190.29.
European markets also closed higher. The French CAC 40 Index shot up by 2.3 percent, the German DAX Index jumped by 1.7 percent, and the U.K.'s FTSE 100 Index edged up by 0.2 percent.
Crude oil prices fell sharply on Thursday, impacted by concerns about excessive supply after reports that OPEC will reintroduce 2.2 million barrels per day of production cuts into the market. West Texas Intermediate Crude oil futures for November ended down $2.02 or 2.9 percent, at $67.67 a barrel.
