Tokyo Indexes Extended April Gains Ahead of BoJ Rate Decisions, Yen Edged Lower

Akira Ito
28 Apr, 2025
Tokyo

The decline in yen supported gains in stock market indexes in Tokyo's trading on Monday. 

The Nikkei 225 Stock Average rose as much as 1%, and the broader Topix index advanced as much as 1.2%, extending gains of the previous week. 

Market sentiment remained positive as investors awaited the release of corporate results, and the weakening of the yen from a multi-month high boosted optimism. 

Industrial stocks led the gainers in Tokyo, despite the ongoing trade tensions with the U.S., amid hopes of earnings surpassing market expectations. 

Investors are looking ahead to the release of several key economic metrics this week in addition to earnings from Hitachi and Mitsubishi Electric and other leading industrial companies. 

On the economic front, retail sales and industrial production data are set to be released on Tuesday, housing starts and construction orders on Wednesday, and consumer confidence and the au Jibun manufacturing activities survey on Thursday. 

Moreover, the Bank of Japan is expected to hold interest rates steady this week, but investors are looking for a rate path outlook and policymakers views on economic growth in the current fiscal year.

The central bank is widely expected to signal higher interest rates later in the year as sustainable inflation has finally arrived in Japan, driven by steady increases in wages at large companies. 

Japan's financial markets are closed on Tuesday for a public holiday. 

 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average increased 0.4% to 35,861.01, and the broader Topix index advanced 1% to 2,654.60. 

Mitsubishi Heavy Industries rose 2.2% to ¥2,822.0, Kawasaki Heavy Industries added 1.8% to ¥8,496.0, and Toyota Industries advanced 0.2% to ¥13,225.0. 

Semiconductor equipment makers turned lower following recent gains after investors booked profit. 

Tokyo Electron edged down 0.2% to ¥21,230.0, Advantest Corp. dropped 5.2% to ¥5,687.0, and Disco Corp. decreased 3.8% to ¥27,635.0. 

Itochu Corp. jumped 2% to ¥7,277.0, Marubeni Corp. added 1.4% to ¥2,531.0, Mitsubishi Corp. gained 1.4% to ¥2,714.50, and Mitsui & Company increased 1.5% to ¥2,863.0.