Market Update
U.S. Stocks Advance After Investors Return from Juneteenth Holiday
Barry Adams
20 Jun, 2025
New York City
Investors remained jittery as the Middle East conflict showed no sign of cooling, and the U.S. mulled joining Israel's attacks into Iran.
Investors bid up stocks after returning from the Juneteenth holiday amid lingering geopolitical tensions and a lack of progress on global tariffs.
The S&P 500 index edged up 0.2%, the tech-heavy Nasdaq Composite inched up 0.1%, and the U.S. dollar index traded near a multi-month low.
A White House official confirmed that the U.S. president is reviewing possibilities of assisting Israel in attacking Iran's nuclear infrastructure located deep beneath the surface and targeting government officials.
Crude oil prices edged lower, as the U.S. president may take as long as two weeks to finalize his decision.
Middle East experts are signaling that the U.S. is likely to continue to provide overt and covert assistance to Israel's attacks and provide the military and intelligence support needed to carry out attacks targeting underground nuclear infrastructure as early as next week.
For the week, as of the close of Thursday's trading, the S&P 500 index decreased 0.6%, and the Nasdaq Composite declined 0.2%.
Commodities, Currencies, Indexes, Yields
The S&P 500 index increased 0.2% to 5,990.72, the Nasdaq Composite edged up 0.1% to 19,564.39, and the Russell 2000 index advanced 0.5% to 2,122.95.
The yield on 2-year Treasury notes edged higher to 3.95%, 10-year Treasury notes increased to 4.42%, and 30-year Treasury bonds advanced to 4.93%.
WTI crude oil decreased $0.28 to $73.22 a barrel, and natural gas prices edged lower by $0.12 to $3.96 a thermal unit.
Gold decreased by $0.84 to $3,368.54 an ounce, and silver edged down by $0.42 to $35.98.
The dollar index, which weighs the US currency against a basket of foreign currencies, decreased by 0.18 to 98.73 and traded at the lowest level since April 2022.
U.S. Stock Movers
CarMax Inc. jumped 10.5% to $70.91 after the used-car retailer reported better-than-expected fiscal first-quarter results.
Revenue in the quarter increased to $7.55 billion, and diluted earnings per share advanced to $1.38.
Darden Restaurants increased 3.8% to $231.25 after the parent company of Olive Garden reported better-than-expected revenue in the fiscal first quarter of $3.3 billion.
However, operating earnings declined 3.2% to $444.1 million, and the company guided diluted earnings per share in the fiscal year 2026 to range between $10.50 and $10.70.
Kroger Company declined 0.3% to $65.35, and the largest independent grocery chain operator reported fiscal first quarter flat sales of $45.2 billion and diluted earnings per share of $1.29.
Net earnings attributable to shareholders decreased to $866 million from $956 million a year ago.
Accenture Plc decreased 5% to $291.0, and the technology and business outsourcing services provider reported better-than-expected quarterly earnings, but new orders fell short of expectations.
U.S. Stocks Advance After Investors Return from Juneteenth Holiday
Barry Adams
20 Jun, 2025
New York City
Investors remained jittery as the Middle East conflict showed no sign of cooling, and the U.S. mulled joining Israel's attacks into Iran.
Investors bid up stocks after returning from the Juneteenth holiday amid lingering geopolitical tensions and a lack of progress on global tariffs.
The S&P 500 index edged up 0.1%, the tech-heavy Nasdaq Composite inched up 0.2%, and the U.S. dollar index traded near a multi-month low.
A White House official confirmed that the U.S. president is reviewing possibilities of assisting Israel in attacking Iran's nuclear infrastructure located deep beneath the surface and targeting government officials.
Crude oil prices edged lower, as the U.S. president may take as long as two weeks to finalize his decision.
Middle East experts are signaling that the U.S. is likely to continue to provide overt and covert assistance to Israel's attacks and provide the military and intelligence support needed to carry out attacks targeting underground nuclear infrastructure as early as next week.
For the week, as of the close of Thursday's trading, the S&P 500 index decreased 0.6%, and the Nasdaq Composite declined 0.2%.
U.S. Stock Movers
CarMax Inc. jumped 10.5% to $70.91 after the used-car retailer reported better-than-expected fiscal first-quarter results.
Revenue in the quarter increased to $7.55 billion, and diluted earnings per share advanced to $1.38.
Darden Restaurants increased 3.8% to $231.25 after the parent company of Olive Garden reported better-than-expected revenue in the fiscal first quarter of $3.3 billion.
However, operating earnings declined 3.2% to $444.1 million, and the company guided diluted earnings per share in the fiscal year 2026 to range between $10.50 and $10.70.
Kroger Company declined 0.3% to $65.35, and the largest independent grocery chain operator reported fiscal first quarter flat sales of $45.2 billion and diluted earnings per share of $1.29.
Net earnings attributable to shareholders decreased to $866 million from $956 million a year ago.
Accenture Plc decreased 5% to $291.0, and the technology and business outsourcing services provider reported better-than-expected quarterly earnings, but new orders fell short of expectations.
European Markets Trim Weekly Losses, UK Food Store Sales Drop Drags Down Retail Sales In May
Bridgette Randall
20 Jun, 2025
London
European markets advanced on Friday and halted a three-day losing streak amid heightened geopolitical uncertainties.
Benchmark indexes in Frankfurt, Paris, Milan, and London edged higher after diplomats from the European Union and Iran agreed to meet.
Crude oil prices traded near this year's high after a lull in the Israel-Iran airstrikes raised hopes for a temporary ceasefire.
Moreover, a White House official confirmed that the U.S. president will make a decision to participate in Israel's strike targeting underground nuclear infrastructure.
Israel's unilateral strikes on Iran are based on claims that the Muslim nation is close to making a nuclear bomb, reminding us of the U.S. and Israel's false and misleading claims in the run-up to Iraq's war.
On the economic front, the U.K.'s annual retail sales in May fell 1.3% after rising in the previous three consecutive months.
The annual retail sales declined for the first time in four months and fell the most since April 2024.
On a monthly basis, retail sales fell 2.7%, reversing the upwardly revised 1.3% in April, the Office for National Statistics announced Friday.
The monthly decline in retail sales was largely driven by a 5% fall in food store sales after supermarkets curtailed promotional activities.
The monthly food sales decline was the largest since May 2021.
Europe Indexes and Yields
The DAX index increased by 0.7% to 23,210.59, the CAC-40 index edged higher by 0.5% to 7,589.30, and the FTSE 100 index advanced 0.3% to 8,818.87.
The yield on 10-year German bonds inched lower to 2.49%, French bonds decreased to 3.24%, UK gilts moved down to 4.51%, and Italian bonds edged lower to 3.51%.
The euro increased to $1.15; the British pound was higher at $1.35; and the U.S. dollar was lower and traded at 81.57 Swiss cents.
Brent crude decreased $0.03 to $76.67 a barrel, and the Dutch TTF natural gas was lower by €1.55 to €39.93 per MWh.
Europe Stock Movers
Energy complex stocks lacked direction amid heightened tensions in the Middle East.
BP plc decreased 1% to 389.25 pence, Shell PLC declined 0.5% to 2,684.0 pence, and TotalEnergies SE dropped 0.8% to €54.45.
Kering SA jumped 3% to €180.16, LVMH edged up 0.1% to €453.10, and Hermes International SCA edged up 0.1% to €2,229.0.
European Markets Trim Weekly Losses, UK Food Store Sales Drop Drags Down Retail Sales In May
Bridgette Randall
20 Jun, 2025
London
European markets advanced on Friday and halted a three-day losing streak amid heightened geopolitical uncertainties.
Benchmark indexes in Frankfurt, Paris, Milan, and London edged higher after diplomats from the European Union and Iran agreed to meet.
Crude oil prices traded near this year's high after a lull in the Israel-Iran airstrikes raised hopes for a temporary ceasefire.
Moreover, a White House official confirmed that the U.S. president will make a decision to participate in Israel's strike targeting underground nuclear infrastructure.
Israel's unilateral strikes on Iran are based on claims that the Muslim nation is close to making a nuclear bomb, reminding us of the U.S. and Israel's false and misleading claims in the run-up to Iraq's war.
On the economic front, the U.K.'s annual retail sales in May fell 1.3% after rising in the previous three consecutive months.
The annual retail sales declined for the first time in four months and fell the most since April 2024.
On a monthly basis, retail sales fell 2.7%, reversing the upwardly revised 1.3% in April, the Office for National Statistics announced Friday.
The monthly decline in retail sales was largely driven by a 5% fall in food store sales after supermarkets curtailed promotional activities.
The monthly food sales decline was the largest since May 2021.
Europe Indexes and Yields
The DAX index increased by 0.7% to 23,210.59, the CAC-40 index edged higher by 0.5% to 7,589.30, and the FTSE 100 index advanced 0.3% to 8,818.87.
The yield on 10-year German bonds inched lower to 2.49%, French bonds decreased to 3.24%, UK gilts moved down to 4.51%, and Italian bonds edged lower to 3.51%.
The euro increased to $1.15; the British pound was higher at $1.35; and the U.S. dollar was lower and traded at 81.57 Swiss cents.
Brent crude decreased $0.03 to $76.67 a barrel, and the Dutch TTF natural gas was lower by €1.55 to €39.93 per MWh.
Europe Stock Movers
Energy complex stocks lacked direction amid heightened tensions in the Middle East.
BP plc decreased 1% to 389.25 pence, Shell PLC declined 0.5% to 2,684.0 pence, and TotalEnergies SE dropped 0.8% to €54.45.
Kering SA jumped 3% to €180.16, LVMH edged up 0.1% to €453.10, and Hermes International SCA edged up 0.1% to €2,229.0.
Japan's Core Inflation Accelerated Third Consecutive Month In May
Akira Ito
20 Jun, 2025
Tokyo
Stocks in Tokyo advanced on Friday and erased losses in the previous session, and investors reviewed the latest update on inflation.
The Nikkei 225 Stock Average decreased 0.2%, and the broader Topix declined 0.8%, amid rising tensions in the Middle East.
Japan's annual inflation rate edged lower in May and dropped to the level last seen in November 2024, according to the Ministry of Internal Affairs and Communications.
Consumer price inflation eased to 3.5% in May from 3.6% in the previous two months, after price increases in apparel eased to 2.6% from 2.7%, household items slowed to 3.6% from 3.7%, and healthcare eased to 2.0% from 2.2% a year ago, respectively.
However, education costs fell further to 5.6%.
Core inflation, which excludes food prices but not energy, increased to 3.7% in May and accelerated for the third consecutive month, advancing to the highest level since January 2023.
The acceleration of the core inflation reinforced the expectations that the Bank of Japan is likely to continue its rate-tightening campaign in response to sustained inflationary pressures.
Japan Indexes and Stocks
The Nikkei 225 Stock Average decreased 0.2% to 38,403.23, and the broader Topix dropped 0.8% to 2,771.26.
Toyota Motor Corp. decreased 0.9% to ¥2,502.50, Honda Motor Corp. eased 0.5% to ¥1,423.50, and Nissan Motor Corp. declined 1.4% to ¥346.90.
Nippon Yusen KK jumped 0.4% to ¥5,054.0, Mitsui O.S.K. Lines Ltd. gained 0.4% to ¥4,813.0, and Kawasaki Kisen Kaisha Ltd. fell 0.3% to ¥2,023.0.
Japan's Core Inflation Accelerated Third Consecutive Month In May
Akira Ito
20 Jun, 2025
Tokyo
Stocks in Tokyo advanced on Friday and erased losses in the previous session, and investors reviewed the latest update on inflation.
The Nikkei 225 Stock Average decreased 0.2%, and the broader Topix declined 0.8%, amid rising tensions in the Middle East.
Japan's annual inflation rate edged lower in May and dropped to the level last seen in November 2024, according to the Ministry of Internal Affairs and Communications.
Consumer price inflation eased to 3.5% in May from 3.6% in the previous two months, after price increases in apparel eased to 2.6% from 2.7%, household items slowed to 3.6% from 3.7%, and healthcare eased to 2.0% from 2.2% a year ago, respectively.
However, education costs fell further to 5.6%.
Core inflation, which excludes food prices but not energy, increased to 3.7% in May and accelerated for the third consecutive month, advancing to the highest level since January 2023.
The acceleration of the core inflation reinforced the expectations that the Bank of Japan is likely to continue its rate-tightening campaign in response to sustained inflationary pressures.
Japan Indexes and Stocks
The Nikkei 225 Stock Average decreased 0.2% to 38,403.23, and the broader Topix dropped 0.8% to 2,771.26.
Toyota Motor Corp. decreased 0.9% to ¥2,502.50, Honda Motor Corp. eased 0.5% to ¥1,423.50, and Nissan Motor Corp. declined 1.4% to ¥346.90.
Nippon Yusen KK jumped 0.4% to ¥5,054.0, Mitsui O.S.K. Lines Ltd. gained 0.4% to ¥4,813.0, and Kawasaki Kisen Kaisha Ltd. fell 0.3% to ¥2,023.0.
PBOC Holds Steady LPR at Record Lows, Stocks Trim Weekly Losses
Li Chen
20 Jun, 2025
Hong Kong
Stock market indexes in China and Hong Kong edged higher after the central bank held rates.
The Hang Seng index increased more than 1%, and the mainland-focused CSI 300 index inched higher by 0.2%.
The People's Bank of China held its 1-year Loan Prime Rate at 3.0% and five-year Loan Prime Rate at 3.5%, signaling that the economy is able to withstand deflationary forces.
China's export growth has held up despite elevated U.S. tariffs, and retail sales were ahead of expectations despite the ongoing residential property market slump.
In Hong Kong trading, which is dominated by foreign investors, stocks advanced in the hopes that China's economic growth is more likely to meet the target rate of 5%.
China Indexes and Stocks
The Hang Seng Index gained 1.1% to 23,504.59, and the mainland-focused CSI 300 index added 0.2% to 3,852.39.
For the week, the Hang Seng index declined 1.2%, and the CSI 300 index decreased 0.02%.
Longfor Group Holdings Ltd. declined 0.7% to HK $9.23, China Vanke decreased 0.4% to HK $4.72, Henderson Land Development Ltd. edged up 1.5% to HK $27.10, and Sun Hung Kai Properties Ltd. added 1.2% to HK $84.45.
Li Auto Inc. rose 0.6% to HK $102.50, BYD gained 1% to HK $125.70, and CATL edged higher 0.8% to HK $300.80.
Foshan Haitian Flavouring and Food Company declined 0.5% to HK$36.30, and earlier in the week, the company completed its public listing at HK$36.30 per share.
PBOC Holds Steady LPR at Record Lows, Stocks Trim Weekly Losses
Li Chen
20 Jun, 2025
Hong Kong
Stock market indexes in China and Hong Kong edged higher after the central bank held rates.
The Hang Seng index increased more than 1%, and the mainland-focused CSI 300 index inched higher by 0.2%.
The People's Bank of China held its 1-year Loan Prime Rate at 3.0% and five-year Loan Prime Rate at 3.5%, signaling that the economy is able to withstand deflationary forces.
China's export growth has held up despite elevated U.S. tariffs, and retail sales were ahead of expectations despite the ongoing residential property market slump.
In Hong Kong trading, which is dominated by foreign investors, stocks advanced in the hopes that China's economic growth is more likely to meet the target rate of 5%.
China Indexes and Stocks
The Hang Seng Index gained 1.1% to 23,504.59, and the mainland-focused CSI 300 index added 0.2% to 3,852.39.
For the week, the Hang Seng index declined 1.2%, and the CSI 300 index decreased 0.02%.
Longfor Group Holdings Ltd. declined 0.7% to HK $9.23, China Vanke decreased 0.4% to HK $4.72, Henderson Land Development Ltd. edged up 1.5% to HK $27.10, and Sun Hung Kai Properties Ltd. added 1.2% to HK $84.45.
Li Auto Inc. rose 0.6% to HK $102.50, BYD gained 1% to HK $125.70, and CATL edged higher 0.8% to HK $300.80.
Foshan Haitian Flavouring and Food Company declined 0.5% to HK$36.30, and earlier in the week, the company completed its public listing at HK$36.30 per share.
Switzerland, Norway, and Sweden Cut Rates, BoE Holds Rates
Bridgette Randall
19 Jun, 2025
London
European markets traded down amid growing likelihood of expanded U.S. involvement in Israel's attacks on Iran.
Benchmark indexes in Frankfurt, Paris, Milan, and London edged lower, and the euro traded near recent multi-month highs amid the fading luster of the U.S. dollar-denominated assets.
U.S. policymakers and military planners are evaluating possibilities of a strike on Iran's nuclear infrastructure, but the specter of false and misleading narratives in the build-up to the Iraq War haunts them.
The total cost of the Iraq War is estimated to surpass one trillion dollars, including the support costs of wounded military personnel.
The U.S. Federal Reserve held its key lending rate range unrevised, citing tariff-driven inflation.
The Federal Reserve Open Market Committee held steady the federal funds rate range between 4.25% and 4.50% for the fourth meeting in a row.
The Bank of England, as widely anticipated, decided to hold its policy rate unchanged at 4.25%, following a rate cut of 25 basis points on May 8.
On Wednesday, the Norges Bank lowered its policy rate by 25 basis points to 4.25%, and the central bank signaled additional rate cuts if future economic data supports the move.
"The Committee judges that a restrictive monetary policy is still needed but that it is now appropriate to begin a cautious normalization of the policy rate," the accompanying statement from the central bank noted.
The policy rate is likely to drop to 4% by the end of 2025 and ease to 3% towards the end of 2028, according to the statement released by the central bank.
The Swiss National Bank lowered its benchmark rate by 25 points to zero, signaling the potential return to negative rates.
The central bank supported the latest move, citing weakening inflationary pressures and the impact of the strong Swiss franc.
While most nations are struggling to contain inflation, annual consumer price inflation fell to negative 0.1% in May.
Europe Indexes and Yields
The DAX index decreased by 0.5% to 23,197.63, the CAC-40 index edged lower 0.5% to 7,616.20, and the FTSE 100 index declined 0.4% to 8,811.70.
The yield on 10-year German bonds inched higher to 2.53%, French bonds increased to 3.27%, UK gilts moved up to 4.55%, and Italian bonds edged higher to 3.54%.
The euro decreased to $1.15; the British pound was lower at $1.34; and the U.S. dollar was higher and traded at 82.11 Swiss cents.
Brent crude increased $0.67 to $77.37 a barrel, and the Dutch TTF natural gas was higher by €0.90 to €39.94 per MWh.
Europe Movers
Kering SA dropped 1.7% to €177.62, LVMH declined 1.3% to €458.15, and Hermes International SCA fell 1.7% to €2,243.0.
BP plc increased 1.6% to 392.45 pence, Shell PLC increased 1.3%, and TotalEnergies added 1.9% to €54.79.
Stora Enso OYJ soared 17.5% to €9.90 after the Finnish forest company announced a strategic review of its forest assets.
Norway and Sweden Lower Rates, BoE Rate Decisions Awaited
Bridgette Randall
19 Jun, 2025
London
European markets traded down amid growing likelihood of expanded U.S. involvement in Israel's attacks on Iran.
Benchmark indexes in Frankfurt, Paris, Milan, and London edged lower, and the euro traded near recent multi-month highs amid the fading luster of the U.S. dollar-denominated assets.
U.S. policymakers and military planners are evaluating possibilities of a strike on Iran's nuclear infrastructure, but the specter of false and misleading narratives in the build-up to the Iraq War haunts them.
The total cost of the Iraq War is estimated to surpass one trillion dollars, including the support costs of wounded military personnel.
The U.S. Federal Reserve held its key lending rate range unrevised, citing tariff-driven inflation.
The Federal Reserve Open Market Committee held steady the federal funds rate range between 4.25% and 4.50% for the fourth meeting in a row.
The Bank of England is widely anticipated to hold its policy rate unchanged at 4.25%, following a rate cut of 25 basis points on May 8.
On Wednesday, the Norges Bank lowered its policy rate by 25 basis points to 4.25%, and the central bank signaled additional rate cuts if future economic data supports the move.
"The Committee judges that a restrictive monetary policy is still needed but that it is now appropriate to begin a cautious normalization of the policy rate," the accompanying statement from the central bank noted.
The policy rate is likely to drop to 4% by the end of 2025 and ease to 3% towards the end of 2028, according to the statement released by the central bank.
Europe Indexes and Yields
The DAX index decreased by 0.5% to 23,197.63, the CAC-40 index edged lower 0.5% to 7,616.20, and the FTSE 100 index declined 0.4% to 8,811.70.
The yield on 10-year German bonds inched higher to 2.53%, French bonds increased to 3.27%, UK gilts moved up to 4.55%, and Italian bonds edged higher to 3.54%.
The euro decreased to $1.15; the British pound was lower at $1.34; and the U.S. dollar was higher and traded at 82.11 Swiss cents.
Brent crude increased $0.67 to $77.37 a barrel, and the Dutch TTF natural gas was higher by €0.90 to €39.94 per MWh.
Europe Movers
Kering SA dropped 1.7% to €177.62, LVMH declined 1.3% to €458.15, and Hermes International SCA fell 1.7% to €2,243.0.
BP plc increased 1.6% to 392.45 pence, Shell PLC increased 1.3%, and TotalEnergies added 1.9% to €54.79.
Stora Enso OYJ soared 17.5% to €9.90 after the Finnish forest company announced a strategic review of its forest assets.
Europe Movers: Speedy Hire
Inga Muller
19 Jun, 2025
Frankfurt
Speedy Hire Plc. traded down 2.3% at 25.50 pence after the provider of tool and equipment hire services in the UK and Ireland reported results for the fiscal year ending on March 31.
Revenue declined to £416.6 million from £421.5 million, net income swung to a loss of £1.1 million from a profit of £2.7 million, and diluted earnings per share swung to a loss of 24 pence from a profit of 58 pence a year ago.
Sales in the hire segment rose 0.6% in the year, while in the services segment they were down 2.8% from a year earlier due to a decrease in wholesale prices and some softening in volume sales.
Excluding fuel, services revenue increased by 4.5%, driven by growth in customer solutions and Lloyds British, the company’s testing, inspection, and certification business.
The company proposed a final dividend of 1.80 pence per share, resulting in full-year dividend of 2.60 pence per share, unchanged from a year earlier.
“We have ambitious targets for future growth under our Velocity Strategy and expect to generate returns from the investment made over the last two years as markets recover,” the company said in a release to investors.
“In spite of challenging end markets, we have continued to invest in our transformation program and our new fleet and have been rewarded with a number of significant multi-year contract wins, which will impact fiscal year 2026 and beyond,” the company added in the statement.
Europe Movers: Speedy Hire
Inga Muller
19 Jun, 2025
Frankfurt
Speedy Hire Plc. traded down 2.3% at 25.50 pence after the provider of tool and equipment hire services in the UK and Ireland reported results for the fiscal year ending on March 31.
Revenue declined to £416.6 million from £421.5 million, net income swung to a loss of £1.1 million from a profit of £2.7 million, and diluted earnings per share swung to a loss of 24 pence from a profit of 58 pence a year ago.
Sales in the hire segment rose 0.6% in the year, while in the services segment they were down 2.8% from a year earlier due to a decrease in wholesale prices and some softening in volume sales.
Excluding fuel, services revenue increased by 4.5%, driven by growth in customer solutions and Lloyds British, the company’s testing, inspection, and certification business.
The company proposed a final dividend of 1.80 pence per share, resulting in full-year dividend of 2.60 pence per share, unchanged from a year earlier.
“We have ambitious targets for future growth under our Velocity Strategy and expect to generate returns from the investment made over the last two years as markets recover,” the company said in a release to investors.
“In spite of challenging end markets, we have continued to invest in our transformation program and our new fleet and have been rewarded with a number of significant multi-year contract wins, which will impact fiscal year 2026 and beyond,” the company added in the statement.
Japan Indexes Halt 3-Day Rally After U.S. Fed Held Rates Steady
Akira Ito
19 Jun, 2025
Tokyo
Stock market indexes in Japan halted a three-day rally amid heightened geopolitical uncertainty and future global rate paths.
The Nikkei 225 Stock Average decreased 1%, the broader Topix declined more than 0.5%, and investors looked forward to the release of domestic inflation data.
Overnight, the U.S. Federal Reserve held its interest rates steady for the fourth meeting in a row, citing persistent inflation and tariff-driven inflationary forces.
The U.S. central bank held its key interest rate range between 4.25% and 4.50%, citing the potential negative impact of the Trump administration's tariffs.
Moreover, rapidly escalating tensions in the Middle East raised fears of an expanded role of the U.S. in the latest Iran-Iran war that could disrupt global oil and natural gas supply.
Earlier in the week, the Bank of Japan left the short-term rate at 0.5% and indicated a gradual approach in shrinking its balance sheet, and the central bank signaled rising inflationary pressures and a weakening economic growth outlook.
Japan Indexes and Stocks
The Nikkei 225 Stock Average declined 1% to 38,526.97, and the broader Topix decreased 0.6% to 2,792.23.
Technology stocks declined following losses in overnight trading in New York.
Advantest Corp. decreased 2.2% to ¥9,446.0, Tokyo Electron declined 2.9% to ¥24,030.0, and Disco Corp. fell 3.3% to ¥35,740.0.
Mitsubishi UFJ Financial Group dropped 0.2% to ¥1,951.0, Sumitomo Mitsui Financial Group declined 0.7% to ¥3,584.0, and Mizuho Financial Group fell 0.2% to ¥3,962.0.
Japan Indexes Halt 3-Day Rally After U.S. Fed Held Rates Steady
Akira Ito
19 Jun, 2025
Tokyo
Stock market indexes in Japan halted a three-day rally amid heightened geopolitical uncertainty and future global rate paths.
The Nikkei 225 Stock Average decreased 1%, the broader Topix declined more than 0.5%, and investors looked forward to the release of domestic inflation data.
Overnight, the U.S. Federal Reserve held its interest rates steady for the fourth meeting in a row, citing persistent inflation and tariff-driven inflationary forces.
The U.S. central bank held its key interest rate range between 4.25% and 4.50%, citing the potential negative impact of the Trump administration's tariffs.
Moreover, rapidly escalating tensions in the Middle East raised fears of an expanded role of the U.S. in the latest Iran-Iran war that could disrupt global oil and natural gas supply.
Earlier in the week, the Bank of Japan left the short-term rate at 0.5% and indicated a gradual approach in shrinking its balance sheet, and the central bank signaled rising inflationary pressures and a weakening economic growth outlook.
Japan Indexes and Stocks
The Nikkei 225 Stock Average declined 1% to 38,526.97, and the broader Topix decreased 0.6% to 2,792.23.
Technology stocks declined following losses in overnight trading in New York.
Advantest Corp. decreased 2.2% to ¥9,446.0, Tokyo Electron declined 2.9% to ¥24,030.0, and Disco Corp. fell 3.3% to ¥35,740.0.
Mitsubishi UFJ Financial Group dropped 0.2% to ¥1,951.0, Sumitomo Mitsui Financial Group declined 0.7% to ¥3,584.0, and Mizuho Financial Group fell 0.2% to ¥3,962.0.