Nikkei 225 and Topix Advance 20% In 2024 Amid Rate Path Uncertainty and Lackluster Economic Outlook

Akira Ito
30 Dec, 2024
Tokyo

Stock market indexes in Tokyo closed down on the final trading day of 2024 amid weakness in tech stocks. 

The Nikkei 225 stock average decreased 0.9%, and the broader TOPIX index fell 0.6% in thin trading as investors debated the rate path, the outlook for the yen, and corporate earnings. 

In 2024, the Nikkei 225 stock average and the TOPIX index gained about 20%, reflecting strong corporate earnings driven by a weak yen and innovation-led growth in leading semiconductor and automotive companies. 

A private manufacturing survey conducted by S&P Global confirmed contraction for the sixth consecutive month in December as exports to key markets in China and the U.S. struggled. 

The au Jibun Bank Japan Manufacturing PMI edged was confirmed at 49.6 in December from the preliminary estimate of 49.5 and ahead of 49.0 in November. 

New orders stabilized, exports remained subdued, and backlogs continue to shrink, according to the report published by S&P Global. 

Despite the ongoing weakness, sentiment among manufacturing companies was relatively strong amid rising production of newly launched products and steady recovery in semiconductor and automotive sectors. 

 

Japan Stock Movers 

The Nikkei 225 Stock Average decreased 0.9% to 39,932.89, and the broader TOPIX index dropped 0.6% to 2,784.95. 

Advantest Corp. declined 2.4% to ¥9,220 and closed up 99%. Tokyo Electron declined 0.5% to ¥24,255 and gained 1%, Screen Holdings declined 1.4% to ¥9,510 and fell 18% in 2024, respectively.  

J Front Retailing Co. Ltd. decreased 1.4% to ¥2,131 and soared 64%, Seven & I Holdings Co. Ltd. increased 0.5% to ¥2,485.50 and advanced 32% to ¥2,485.50, and Isetan Mitsukoshi Holdings edged up 0.1% to ¥2,755.50 and jumped 78% to ¥2,755.50 in 2024, respectively. 

Marubeni Corp. gained 0.2% to ¥2,391.50 and jumped 5% to ¥2,391; Mitsui & Co. Ltd. decreased 0.4% to ¥3,310 but rose 22% to ¥3,310, and Itochu Corp. fell 0.7% to ¥7,827 and soared 34% to ¥7,827.