Market Updates

Tokyo Indexes Struggled After New Intraday Record Highs as Political Uncertainty Weighed

Akira Ito
09 Sep, 2025
Tokyo

    Japan's market indexes struggled to hold on to the morning's gains after reaching new intraday highs. 

    The Nikkei 225 Stock Average declined 0.3%, and the broader Topix eased 0.5% as worries mounted about the political stability. 

    Japan's prime minister, Shigeru Ishiba, announced his resignation on Sunday amid rising discontent over his leadership following two election defeats.

    Moreover, Japan's trade negotiations with the U.S. have stalled as Japan struggles to secure trade concessions from the Trump administration. 

    U.S. Commerce Secretary Howard Lutnick reiterated that Japan's pledge to invest $550 billion is essentially a "blank check" for the U.S. president.

    Lutnick implied that Donald Trump will decide where and how Japan's $550 billion will be invested; however, Japan's trade negotiators or political leaders have neither confirmed nor agreed to it.

    Moreover, the so-called U.S.-Japan trade deal is a verbal agreement lacking specifics on allocation, control, tax treatment, and repatriation rules. 

     

    Japan Indexes and Stocks 

    The Nikkei 225 Stock Average decreased 0.3% to 43,533.45, and the broader Topix fell 0.5% to 3,122.93. 

    Semiconductor equipment makers led market leaders in Tuesday's trading in Tokyo. 

    Tokyo Electron increased 1.9% to ¥20,985.0, Advantest Corp. gained 6.5% to ¥12,710.0, and Disco Corp. advanced 0.1% to ¥37,780.0.

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