Market Updates

Japan's PPI Accelerated to Three-Year High in May, Nikkei 225 Dropped

Akira Ito
10 Jun, 2026
Tokyo

    Japan's indexes trimmed the previous session's gains amid rising tensions in the Middle East. 

    The Nikkei 225 Stock Average dropped 2.5%, the broader TOPIX decreased 1.7%, and the yen weakened to 160.35 against the U.S. dollar. 

    Market sentiment deteriorated after the U.S. launched "self-defense" strikes against Iran in response to the downing of an American helicopter. 

    In addition, the weakness in semiconductor stocks in overnight trading on Wall Street contributed to the decline in Japanese equities. 

    Japan's annual wholesale inflation soared to 6.3% in May, accelerating from an upwardly revised 5.3% in the previous month, according to the Bank of Japan. 

    The measure of wholesale prices rose at the fastest pace since March 2023, reflecting persistent cost pressures stemming from higher energy prices linked to the war in Iran.

     

    Japan Indexes and Stocks 

    The Nikkei 225 Stock Average dropped 2.5% to 63,772.01, and the broader TOPIX eased 1.7% to 3,828.86. 

    Chipmakers and AI names led market averages lower and weighed on broader market averages. 

    Kioxia Holdings decreased 4%, Taiyo Yuden declined 3%, SoftBank Group plunged 8%, and Fujikura fell 6.5%.

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