Tokyo's Nikkei 225 surged over two consecutive sessions, gaining nearly 500 points or 1.2 percent overall. The Japanese benchmark closed at 39,513.97 on Thursday after rising 99.19 points, or 0.25 percent, as it traded between 39,221.36 and 39,600.93. Global market sentiment remains positive, especially with favorable trends in oil, gold, and technology sectors helping to lift regional confidence ahead of the Asian trading week.
On the Nikkei 225, several key stocks contributed to the upward momentum. Mazda Motor led the gains with a 1.78 percent increase, followed by Nissan Motor climbing 1.42 percent. Toyota Motor added 0.65 percent to its share price, while Honda Motor edged down 0.34 percent. Sony Group faced weaker demand, falling 0.92 percent, as investors reacted to mixed performances across the broader index.
U.S.
The U.S. stock market played a crucial role in shaping the tone of Asian bourses. The Dow Jones Industrial Average rose 0.38 percent to 44,882.13, while the S&P 500 and NASDAQ also ended in positive territory. However, late in the session, the major averages dipped following remarks from former U.S. President Donald Trump, who reiterated his plan to impose 25 percent tariffs on imports from Canada and Mexico starting February 1. These statements caused a brief sell-off before prices rebounded, finishing the day with gains.
Earnings news further fueled volatility in U.S. markets. IBM and Meta Platforms posted quarterly results that exceeded analyst expectations, while Microsoft and UPS delivered mixed outcomes, with solid performance but weaker-than-anticipated forward guidance. These fluctuations contributed to the seesaw session as investors navigated shifting narratives.
Oil prices saw a slight uptick, with West Texas Intermediate crude futures for March settling at $72.73 per barrel, up $0.11 or 0.15 percent. The rise was attributed to speculation around tightening supplies and a weaker U.S. dollar. Analysts noted that the market remains sensitive to geopolitical risks and potential trade policy shifts, which could influence oil prices further in the coming weeks.
Japan is set to unveil a range of economic indicators today, offering insight into the health of its key industries. Retail sales are forecast to rise 3.4 percent compared to the previous year, up from 2.8 percent in the earlier month.
Additional data includes construction orders, which fell 10.2 percent on a yearly basis in November, and housing starts, which dropped 1.8 percent during the same period. Tokyo's inflation data for January showed a year-on-year increase of 3.0 percent, with core CPI rising 2.4 percent. These figures will provide further context as investors assess economic conditions in the region.