Yen Holds Firm and Japan's Nikkei Rebounds Ahead of Japan-U.S. Trade Negotiations

Akira Ito
14 Apr, 2025
Tokyo

Market sentiment in Tokyo improved after the U.S. paused tariffs on advanced electronics, and investors looked ahead to the outcome of trade negotiations between Japan and the U.S. 

The Nikkei 225 stock average rose as much as 2%, and the broader TOPIX advanced more than 1%, and they erased Friday's losses following a rebound in New York.

 The yen edged higher to 142.75 against the U.S. dollar, and the yield on 10-year Japanese bonds held firm around 1.32%.

Investors breathed a sigh of relief after the Trump administration paused country-specific tariffs on imports of smartphones, computers, and semiconductors. 

Later in the week, Japan's top trade negotiator, Akazawa Ryosei, is scheduled to meet U.S. Treasury Secretary Scot Bessent and U.S. Trade Representative Jamieson Greer. 

Investors are hoping that the U.S. will lower additional tariffs on Japan's exports of manufactured goods and vehicles to closer to 10% from the current 24% and 25%, respectively.  

 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average advanced 1.8% to 34,192.36, and the broader TOPIX index edged up 1.4% to 2,502.32. 

Electronics exporters and semiconductor equipment makers led gainers in Tokyo trading. 

Tokyo Electron advanced 2.4% to ¥20,110.0, Advantest Corp. jumped 5.4% to ¥5,937.0, and Disco Corp. increased 4.2% to ¥28,620.0.

Canon Inc. gained 1.2% to ¥4,263.0, Sony Group Corp. increased 1.5% to ¥3,316.0, and Panasonic Holding Corp. inched higher 1.2% to ¥1,506.50. 

J. Front Retailing Company advanced 1.7% to ¥1,786.50, Fast Retailing Co. Ltd. gained 0.3%, and Seven & I Holdings Ltd. decreased 0.5% to ¥1,964.0.