12.09.202500:36:49UTC+00Japanese Shares Track Wall Street Rally

The Nikkei 225 increased by 0.7% to approximately 44,700, while the Topix saw a 0.5% rise to 3,165 on Friday. This surge in Japanese equities aligns with the positive trajectory witnessed on Wall Street the previous night. On Thursday, each of the major US indices reached new record levels, fueled by signs of a cooling labor market and manageable inflation, which heightened expectations for more significant interest rate cuts by the Federal Reserve. In Japan, investors are assessing the Bank of Japan’s policy direction amidst mixed economic signals and continuing political instability. Prime Minister Shigeru Ishiba's recent resignation announcement comes amid growing pressure following last year's electoral defeat and increasing rifts within the ruling party. Among the prominent gainers, Tokyo Electron rose by 3%, Fast Retailing advanced by 1.3%, and Sony Group increased by 1.7%. For the week, the Nikkei is poised for a gain of about 4%, with the Topix anticipated to rise by approximately 2%.