Nikkei 225

Nikkei 225TYO:3281TYO:4680

Japanese Shares Rebound Tracking Wall Street's Bets on AI Stocks

Japanese shares rebounded on Thursday to close the trading session with gains as AI-related shares fuelled optimism in the technology sector in the US.The Nikkei 225 closed up 924.80 points or 1.38%, at 67,743.85.The local sentiment tracked the overnight gains on Wall Street after a chip-supply agreement of over $30 billion was signed between Broadcom AVGO.O and Apple AAPL.O. Media reports of China planning to allow its main AI firms to purchase a limited number of Nvidia's NVDA.O H200 chips also boosted investors' enthusiasm.The rally in semiconductor stocks helped to lessen the impact of the International Monetary Fund's decision to lower its growth forecast for Japan to 0.6% for 2026, from the 0.7% projection in April.Also, back home Japan's machine tool orders increased 52.8% year over year in June to 203.5 billion yen, according to preliminary data from the Japan Machine Tool Builders' Association released Thursday.On the corporate side, GLP J-REIT (TYO:3281) has agreed to sell GLP Tomisato, a domestic real estate asset, to an undisclosed buyer for a total of 7.20 billion yen, according to a Thursday filing with the Tokyo Stock Exchange.Also, Round One's (TYO:4680) June sales in Japan climbed 14.8% to 8.84 billion yen, with all segments posting gains, the company said in a bourse filing on Thursday.

International28d ago

Japan's Machine Tool Orders Jump 52.8% in June

Japan's machine tool orders increased 52.8% year over year in June to 203.5 billion yen, according to preliminary data from the Japan Machine Tool Builders' Association released Thursday.The pace of increase accelerated from the 37.4% expansion in May and came in above the consensus forecast of 37.4%, tracked by Trading Economics.The sustained expansion in June was driven by robust overseas demand. Foreign orders rose 56% from a year earlier to 145.5 billion yen, while domestic orders increased 45.5% to 58 billion yen.

^BSE^JKSEFTSE Bursa Malaysia KLCI^KOSDAQKOSPINikkei 225^NSENifty 50^PSEI^SETShanghai Composite^STI^SZSEKRX:000660KRX:005930

US Markets28d ago

IMF Lifts South Korea's 2026 Growth Forecast on Chip Demand, China Outlook Upgraded

The International Monetary Fund raised its 2026 growth forecasts for South Korea and China, citing strong external demand for semiconductors and rebalancing in the Chinese economy, even as the fallout from the Middle East war continues to weigh on the region.In its July World Economic Outlook update published late Wednesday, the IMF said South Korea's economy is expected to grow 2.6% in 2026, up 0.7 percentage points from the April forecast, with growth "buoyed by strong external demand for semiconductors, which dominates the negative impact of the war."Samsung Electronics (KRX:005930) and SK Hynix (KRX:000660) dominate the local semiconductor sector in South Korea.The 2027 growth estimate for the country was raised 0.4 percentage points to 2.5%. The IMF noted that South Korea's first-quarter growth came in at 7.5%, more than four times the 1.8% pace projected in April.The fund said the first-quarter growth was powered by a semiconductor and AI-hardware export boom, despite the country's "heavy reliance on imported energy from the Middle East."Meanwhile, China's 2026 growth forecast was raised to 4.6%, up 0.2 percentage point from April, with the IMF citing efforts toward domestic rebalancing. However, it noted that higher global oil prices, protracted uncertainty and structural headwinds are expected to weigh on activity in China.Inflation in China is expected "to rise from low levels," the IMF said.The 2027 GDP growth estimate was raised 0.1 percentage point to 4.1%. China's economy expanded 8.1% in the first quarter, beating expectations on front-loaded infrastructure investment and a surge in high-tech manufacturing and exports, even as domestic consumption stayed soft, the IMF said.Elsewhere, India's 2026 growth forecast was cut to 6.4% from the April outlook of 6.5%, even as the IMF said the country remains among the fastest-growing major economies, supported by strong momentum in private consumption and services activity.The 2027 estimate was raised 0.2 percentage points to 6.7%.Japan's 2026 forecast was trimmed 0.1 percentage point to 0.6%, with fiscal support measures partly cushioning the impact of higher energy prices. The 2027 forecast was raised 0.1 percentage point to 0.7% as the energy shock fades.Japan's first-quarter growth came in at 1.8%, beating expectations on net trade, exports and a pickup in private consumption.The IMF expects core inflation in Japan to return to target gradually by the end of 2027.The fund's 2026 growth forecast for the five ASEAN countries -- Indonesia, Malaysia, the Philippines, Singapore and Thailand -- was unchanged at 4.1%, while the 2027 estimate was cut 0.1 percentage point to 4.3%.Within the group, Malaysia's 2026 forecast held steady at 4.7% on data-center activity and the upturn in the global technology cycle, while Thailand's was raised 0.4 percentage point to 1.9% on emergency fiscal measures and technology-related exports and investment.The IMF identified Taiwan, South Korea, Thailand and Malaysia as the top four net exporters of AI-related hardware, noting their average seasonally adjusted annualized suprise growth of 4.4 percentage points, against the 0.3 percentage point drop for the rest of the world.Overall, the IMF said, "Risks to the outlook are more balanced than in April but still tilted to the downside.""The possibility of renewed Middle East conflict looms large and could extend commodity price volatility, further threaten supply chains, raise prices, and weigh on financial conditions."

Market Chatter: Japan H1 Corporate Bankruptcies Rise 7.1%, Highest Since 2014

Japan recorded 5,346 corporate bankruptcies involving liabilities of at least 10 million yen in the first half, up 7.1% from a year earlier and the first time the total has exceeded 5,000 since 2014, Kyodo News reported Wednesday, citing Tokyo Shoko Research.Small businesses with fewer than 10 employees accounted for about 90% of the bankruptcies, while nearly 80% involved liabilities of less than 100 million yen. A weak yen fueled inflation and increased financial pressure on small and medium-sized enterprises, the report said.Price-related bankruptcies rose 27.7% to 439, while labor shortage-related cases increased 37.8% to 237. Bankruptcies linked to rising labor costs more than doubled, and the services sector recorded the most failures among all industries at 1,819, according to the report.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Japan Stocks Rise as Chip Stocks Rally Overshadow IMF Downgrade

Japanese shares rebounded on Thursday, tracking a rally in semiconductor stocks overseas that overshadowed the International Monetary Fund's decision to lower its growth forecast for the country this year.The Nikkei 225 rose 227.3 points or 0.3%, to open at 67,046.37. Brent crude edged up to $78.8.The upbeat sentiment came despite the IMF trimming its Japan economic growth estimate for 2026 to 0.6% from the 0.7% projection in April.The IMF noted that while fiscal support measures will offer a cushion, higher energy prices continue to weigh on the economy.

Nikkei 225KRX:000660

Market Chatter: SmartHR Delays IPO to 2027 Amid Valuation Concerns

KKR-backed SmartHR has postponed plans for an initial public offering until at least next year after investors pushed back against its target valuation, Bloomberg News reported Wednesday, citing people familiar with the matter.The Japanese human resources software company had sought a valuation of about $1 billion, with support from Daiwa Securities, Goldman Sachs and Morgan Stanley, the report said.SmartHR, which was valued at 170 billion yen in a 2021 funding round, had previously targeted a 2026 listing. However, investor concerns about the impact of artificial intelligence on the software-as-a-service sector could still affect the timing and valuation of the IPO, according to the report.SmartHR didn't immediately respond to MT Newswire's request for comment.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

International28d ago

IMF Lowers Japan's Growth Forecast for 2026 on Higher Energy Prices

The International Monetary Fund lowered its Japan economic growth estimate for 2026, noting that while fiscal support measures will offer a cushion, higher energy prices continue to weigh on the economy.In its World Economic Outlook update published late Wednesday, the IMF expects the country's economy to grow 0.6% in 2026, down 0.1 percentage point from the April estimate.For 2027, the real GDP growth estimate was moved 0.1 percentage point higher from April to 0.7%.

Hang SengNikkei 225Shanghai Composite

Asia Markets29d ago

Tech, Oil Outlooks Roil Asian Stock Markets

Asian stock markets churned on Wednesday, as traders weighed fresh Persian Gulf hostilities and the renewed closing of the Strait of Hormuz, and ongoing gyrations in tech-sector valuations.Shanghai and Tokyo finished in the red, although Hong Kong rallied and bucked regional trends. Other Asian exchanges were uneven, while Seoul's KOSPI Index lost 5.4% on sagging semiconductor issues.In Japan, the Nikkei 225 opened lower, wobbled, but could not recover, finishing off 2.1% as traders weighed higher global crude prices. Rising yields on Japanese government bonds, due to concerns regarding heavy government spending plans, also damped sentiments.The benchmark Nikkei 225 fell 1,437.91 to 66,819.05, as losing issues outnumbered gainers 171 to 52.Leading the upside was utility Tokyo Electric Power, up 3.8%, while advanced materials-maker Taiyo Yuden declined 8.5%.In economic news, Japan's Economy Watcher's Survey index, a polling of frontline service workers such as cab drivers and restaurant staff, struck a seasonally adjusted 44.0 in June, up from 43.6 in May, but still logging below the 50-mark that separates optimism from pessimism.In Hong Kong, the Hang Seng Index opened higher and rose to the close, concluding up 3% after concerns abated that a flood of tech-oriented IPOs might saturate the market. In particular, shares in AI-venture Knowledge Atlas Technology gained 13.3%, even after a "lock-up" provision of original shareholders expired, a bellwether result that appeared to galvanize optimism among tech investors.The broad gauge Hang Seng rose 702.57 to 24,199.46, as gaining issues outnumbered losers 73 to 19. The Hang Seng TECH Index gained 5% on the day, while the Mainland Properties Index rose 2.1%.Leading the upside was e-commerce colossus Alibaba (BABA), gaining 9.9%, while pork purveyors WH Group declined 5.4%.On the mainland, the Shanghai Composite fell 0.5% to 3,970.88.On the other regional exchanges, the Taiwan TWSE inclined 0.6%; the Australian ASX 200 declined 0.2%; the Singapore Straits Times Index rose 0.5%, and the Thai Set declined 1.7%. In late trading in Mumbai, the Sensex was down 2.2%.The MSCI All Country Asia Pacific Index fell 0.9% on the day.

Asia Markets29d ago

Japanese Shares Slip Again as Renewed Tensions in Middle East Worry Investors

Japanese shares closed in the red, as investors took a cautious stance amid the rise in oil prices due to the resurgence of unrest in the Middle East.Benchmark Nikkei 225 closed down 1,437.91 points or 2.11% at 66,819.05.Tensions in the Middle East flared up again after the US launched renewed airstrikes in Iran and revoked a waiver which permitted it to sell oil globally, after a series of attacks on vessels in the Strait of Hormuz.Sentiment around tech stocks was also hit by SpaceX's Tuesday entry into the Nasdaq 100, adding to sector volatility.Back home, Japan's current account surplus rose to 3.968 trillion yen in May, from 3.321 trillion yen a year earlier and from a surplus of 3.908 trillion yen in April, the Ministry of Finance said in a Wednesday release.Also, survey data released by the Cabinet Office showed that the economic sentiment among Japan's street-level workers improved marginally in June but remained in the pessimistic territory.On the corporate side, Asahi Group's (TYO:2502) profit attributable to owners of the parent fell 36.7% to 121.57 billion yen for the year ended December 2025, from 192.08 billion yen a year earlier. Earnings per share declined year-on-year to 81.29 yen from 126.66 yen, according to a Tokyo bourse filing on Wednesday.Also, Starzen Company (TYO:8043) said its Starzen Higashi Ogishima Center in Kawasaki City, Japan, has been completed and is scheduled to start operations on Aug. 17.

Nikkei 225TYO:2502TYO:8043

US Markets29d ago

Japan's 'Street-Level' Economic Sentiment Improves in June but Remains Pessimistic

Economic sentiment among Japan's "street-level" workers ticked higher in June but remained in pessimistic territory, according to survey data released by the Cabinet Office on Wednesday.The seasonally adjusted headline Economy Watchers Survey's current conditions index grew to 44 points from 43.6 points in May.The latest print missed the consensus forecast of 44.3 points tracked by Investing.com.A reading above 50 denotes optimism, while a reading below suggests pessimism. The latest data marked the fourth straight month of negative reading after a neutral 50 print in February.All indicators in the household activity-related sector remained in pessimistic territory at 43.5, but a number of components showed improvements compared with the previous month.The housing sector saw the largest improvement, rising to 38.4 in June from 34.8 in May, the cabinet office said.The services sector grew to 46.4 from 44.3 in the previous month.Decreases were seen in food and beverage, which declined to 41.8 from 44.5, while the retail sector's pessimism widened to 42.8 from 44.4.The corporate activity-related index, which tracks manufacturing and non-manufacturing business responses, improved by 1.9 points to 45.6 from 43.7 in May.The non-manufacturing sector's index improved 2.8 points to 44.8 from 42, but still within negative territory.Employment-related sentiment expanded to 43.9 from 41.5.The seasonally adjusted Eco Watchers future economic conditions index increased to 45.7 points from 40.7 in the preceding month, with a 4.8-point improvement in household activity-related sentiment to 45.7.Future corporate activity-related sentiment improved somehow by 5.5 points to 45.9 from 40.4, while employment-related sentiment grew to 44.8 points from 39.2 points.The readings measure the economic mood of workers with close ties to consumer and business activity, such as taxi drivers, hairdressers, and hospitality staff.

International29d ago

Japan's Eco Watchers Current Conditions Index Improves Marginally in June

Economic sentiment among Japan's street-level workers improved marginally in June but remained in the pessimistic territory, according to survey data released by the Cabinet Office on Wednesday.The seasonally adjusted headline Eco Watchers Survey's current conditions index grew to 44 points from 43.6 points in May. The latest print missed the consensus forecast of 44.3 points, tracked by Investing.com.The reading measures the economic mood of workers with close ties to consumer and business activity, such as taxi drivers, hairdressers, and restaurant staff. A reading above 50 indicates optimism, while a reading below suggests pessimism.The monthly momentum was driven by somewhat improving conditions in household activity-related services, as the services and housing sub-components increased by 2.1 points and 3.6 points to end at 46.4 points and 38.4 points, respectively.The improvements were offset by decreases in the retail and food and beverage sub-indices.The corporate activity-related index, which tracks manufacturing and non-manufacturing business responses, rose to 45.6 in June from 43.7 in the month prior.Looking ahead, the seasonally adjusted Eco Watchers future economic conditions index grew to 45.7 points from 40.7 recorded in the preceding month.

US Markets29d ago

Japan Bank Lending Remains at Strongest Level Since March 2021

Japan's bank lending rose 5.7% year over year in June, matching May's pace and remaining at its strongest level since March 2021, according to preliminary data released by the Bank of Japan on Wednesday.The reading came in slightly below the consensus forecast of a 5.8% increase tracked by Investing.com.Outstanding loans at major, regional, and shinkin banks reached 676.1 trillion yen in June, up from 670.8 trillion yen in May.Lending by major and regional banks accelerated to 6.3% from 6.2%.Loans at major banks increased 8.7% from 8.6%, while lending by regional banks edged up to 4.3% from 4.2%.Lending by shinkin banks, which primarily serve small businesses and local communities, was unchanged at 1.7% from a year earlier.The BOJ raised its policy rate to 1% earlier in June, the highest level since 1995. Even after the increase, Japan's borrowing costs remain well below those in other major economies.The continued strength in lending points to resilient demand for credit despite higher interest rates, supporting the view that the economy can withstand further policy normalization.That is in line with the BOJ's latest Tankan survey, which showed an improvement in corporate financial conditions for the first time in a year, while large firms said conditions for issuing commercial paper had become more favorable."Supported by the generative AI investment boom and resilient production activity, the economy is unlikely to falter in the near term," Bloomberg quoted Toshihiro Nagahama, chief economist at Dai-ichi Life Research Institute and a private-sector member of Prime Minister Sanae Takaichi's economic and fiscal panel, as saying.Bloomberg reported that Japan is close to notching its longest uninterrupted economic growth streak since World War II, as the economy weathers higher oil prices from the Iran conflict and the central bank's ongoing efforts to normalize monetary policy.

Micron Begins Construction of 1.5 Trillion Yen AI Chip Plant in Japan

Micron has commenced construction on a 1.5 trillion yen expansion of its Hiroshima facility to produce advanced memory chips for AI processors.The U.S. chipmaker will begin installing manufacturing equipment in the second half of 2028, with Japan's government contributing up to 500 billion yen in subsidies, Ryosei Akazawa, Japan's Minister of Economy, Trade and Industry, said in a press conference on Friday.The minister said the Hiroshima-made memory chips are seeing rising global demand from generative AI and growing in importance across all industries.

Japan, Italy Secure GBP4.6 Billion UK Deal for Next-Generation Fighter Jet

The UK has awarded a 4.6 billion pounds sterling contract to Japan and Italy as part of the Global Combat Air Program to deliver a sixth-generation fighter jet by 2035, according to a UK government statement on Friday.The milestone follows the UK's confirmation of an 8.6 billion pounds investment over four years under its Defense Investment Plan, supporting thousands of highly skilled jobs and strengthening national security.The advanced aircraft will incorporate AI, digital engineering, and autonomous systems to operate alongside Typhoons and F-35s, with the contract advancing design and testing phases through the joint venture Edgewing.Beyond defense, the program seeks to continue supporting 4,500 jobs and a supply chain of roughly 600 organizations across the UK.

Japanese Stocks Climb as Oil Slides on Easing Middle East Tensions

Japanese equities edged higher on Monday's early session amid easing concerns over Middle East shipping disruptions and expectations of increased crude output from OPEC+.The Nikkei rose 229 points or 0.3% to open at 69,973.34.Brent crude declined around $71 per barrel as traffic through the US-secured maritime route in the Strait of Hormuz began to show signs of normalization.Elsewhere in Asia, market participants also monitored the Korean won's inaugural session in the 24-hour forex trading system.Meanwhile, US index futures maintained their upward momentum from Friday, when American exchanges remained closed for the Independence Day holiday.

Japan's Fair Trade Commission Closes Broadcom Antitrust Probe Without Finding Violations

Japan's Fair Trade Commission has closed its investigation into Broadcom after failing to find sufficient evidence of antitrust violations related to server virtualization licensing for cloud providers.The probe, launched around April 2024, examined whether Broadcom abused its bargaining position or engaged in unlawful bundling of software products, according to a statement on the commission's website.Broadcom has voluntarily committed to providing sufficient prior notice and engaging in good-faith negotiations with cloud service providers before implementing any materially disadvantageous contract changes, the statement read.Broadcom did not immediately respond to MTNewswire's request for comments.

Nikkei 225TYO:5401TYO:5406TYO:5411

Japan to Impose Provisional Anti-dumping Duties on Steel Imports From China, Taiwan

Japan's Cabinet decided to impose provisional anti-dumping duties on nickel-added cold-rolled stainless steel coil, sheet, and strip originating in or exported from China and Taiwan, according to a joint statement from the Ministry of Economy, Trade and Industry and the Ministry of Finance on Friday.The provisional anti-dumping duty rates will range from 3.6% to 42.1%, and will run for four months from July 9 to Nov. 8, 2026.The decision follows a preliminary determination in a probe launched on July 22, 2025. Authorities have ruled that imports of dumped steel products resulted in "material injury" to the domestic industry.Major domestic producers of these materials include Nippon Steel (TYO:5401), JFE Holdings' (TYO:5411) JFE Steel and Kobe Steel (TYO:5406).