Japan`s Nikkei hits record close for fourth day on chip gains ahead of Fed decision

Published on 09/16/2025 at 03:19 am EDT
(Reuters) - Japan's Nikkei share average closed at a record high for a fourth consecutive session on Tuesday, as investors scooped up chip-related stocks ahead of the U.S. Federal Reserve's crucial policy decision on Wednesday.
The Nikkei rose 0.3% to end the day at 44,902.27, after it crossed the key 45,000 level for the first time to hit a high of 45,055.38.
The market was closed on Monday for a public holiday.
The broader Topix rose 0.25% to finish at 3,168.36 on Tuesday.
The latest rally was supported by a robust corporate outlook, which prompted analysts to raise target prices for some local firms, and the expectations for a new prime minister following the decision of the current premier, Shigeru Ishiba, to resign, said Hikaru Yasuda, chief equity strategist at SMBC Nikko Securities.
The firm outlook for the global economy, underpinned by hopes of rate cuts by the Fed, also boosted the Nikkei, he said.
The Nikkei may finish the year at about the 45,000 level, but the index could briefly retreat if expectations for the U.S. rate cuts recede and Treasury yields rise, said Yasuda.
"The market expectations for the U.S. rate cuts are fairly strong."
Shares of chip-testing equipment maker Advantest recovered from early losses to rise 1.29%, providing the biggest boost to the Nikkei.
Chip-making equipment giant Tokyo Electron advanced 1.9%.
Wafer maker Sumco surged 9% to be the biggest percentage gainer in the Nikkei. Chip-related Disco and Resonac Holdings jumped 8.23% and 6.13%, respectively.
On the other hand, Uniqlo brand owner Fast Retailing fell 1.99% to become the biggest drag on the Nikkei.
Of the more than 1,600 stocks trading on the Tokyo Stock Exchange's prime market, 66% stocks advanced, 30% fell, and 2% traded flat.
 (Reporting by Junko Fujita; Editing by Sherry Jacob-Phillips and Rashmi Aich) 

Sumber : Reuters