FX.co ★ Japanese Shares Hit Record Highs

The Nikkei 225 Index surged by 2%, surpassing 41,600, while the broader Topix Index climbed 0.9% to reach 3,052 during post-holiday trading on Tuesday. Both indices achieved record highs, driven by optimism surrounding global trade dynamics. The extension of the US-China trade truce by 90 days has alleviated tensions and provided negotiators with additional time to finalize an agreement. Domestically, investors are considering the Bank of Japan’s policy direction, as board members remain split on the timing and pace of prospective interest rate hikes. In corporate developments, SoftBank Group’s shares soared over 7% following its announcement of a $32.7 billion investment in OpenAI and its agreement to purchase chip designer Ampere Computing for $5.6 billion. Other notable performers included Sanrio, which rose 12.6%, Advantest with a 7.2% gain, and Mitsubishi UFJ increasing by 3.6%.