The Japanese stock market saw a significant surge on Monday, with the Nikkei 225 Index jumping 1.8% to close at 50,402.39. This increase was driven by a weaker yen and renewed enthusiasm for artificial intelligence (AI) investments.
The broader Topix index also rose 0.6%, following a 1% gain on Friday. The rally was partly fueled by strong forecasts from US chipmaker Micron Technology, which re-ignited optimism around AI-related shares.
SoftBank Group, a major Japanese investor in AI, saw its stock jump 4.1%. The company is racing to close a $22.5 billion funding commitment to OpenAI by year-end.
According to Maki Sawada, an equities strategist at Nomura Securities, the momentum from the US stock market, driven by positive news related to semiconductors and AI, is also visible in the Japanese stock market. Sawada noted that the rise in Japanese shares appears to be driven by expectations that economic policy measures will lead to an improving economy.
Remember, this is perspective, not prediction. The market can be unpredictable, and it's essential to do your own research before making any investment decisions.
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