FX.co ★ Japanese Shares Rise on US-China Trade Optimism

The Nikkei 225 Index rose by 0.92%, concluding at 38,088 on Monday, while the broader Topix Index saw a 0.58% increase, reaching 2,785—marking the second straight day of gains for Japanese stocks. The upswing was driven by renewed optimism regarding US-China trade relations, as signs of easing tensions bolstered investor sentiment. Market confidence was strengthened by news that China had granted temporary approvals for rare earth exports and that the US company Boeing had resumed commercial jet deliveries to China. Domestically, Japan's GDP for the first quarter was revised upward to show no growth, contrasting with an earlier estimate of a 0.2% decline. Although the revision was positive, it still indicated a significant slowdown from the 0.6% expansion observed in the previous quarter. Technology stocks led the rally, with notable performance from Advantest, rising 4.9%, Lasertec gaining 2.5%, and Disco increasing by 3.2%. Other significant gainers included Fujikura with a 2.5% rise, Sanrio advancing by 3.5%, and Mizuho Financial climbing 2.1%.