Japan's Indexes Surged 2% and Yen Remained Under Pressure

Akira Ito
26 Nov, 2025
Hong Kong

Japan's stocks advanced and extended gains over the last seven months amid a recovering market sentiment mirroring Wall Street gains in overnight trading. 

The Nikkei 225 Stock Average jumped 1.7%, and the broader Topix advanced nearly 2% after a broad rally swept stocks higher across all market caps. 

Expectations for a U.S. rate cut rose after the December policy meeting following sluggish retail sales and producer price inflation data. 

U.S. retail and food services sales advanced 4.3% in September, and producer price inflation held steady at 2.7% from a year ago, respectively. 

The government agencies resumed the release of statistical data after the federal government reopened after a 43-day shutdown.  

Closer to home, investors speculated that the Bank of Japan is more likely to raise rates in December to shore up the faltering yen and stable macroeconomic backdrop.  

The Japanese yen hovered at 156.12 and traded near a nine-month low amid worries about rising government debt. 

 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average advanced 1.7% to 49,507.55, and the broader Topix inched up 1.9% to 3,352.28. 

Semiconductor equipment makers extended this week's and this year's gains, reflecting a sharp rise in AI stocks in overnight trading in New York. 

Tokyo Electron, Advantest Corp., Disco Corp., Lasertec, and SoftBank advanced between 0.3% and 3.0% in Tokyo on Wednesday.

Nippon Yusen KK decreased 0.9% to ¥4,895.0, Mitsui O.S.K. Lines fell 0.4% to ¥4,395.0, and Kawasaki Kisen Kaisha rose 0.2% to ¥2,074.0. 

Fast Retailing Ltd. increased 1.7% to ¥56,950.0, Aeon Co. Ltd. advanced 2.2% to ¥2,857.0, and Seven & I Holdings added 1.9% to ¥2,168.50.