STOCKS | Japan's Nikkei Rises 3% Amid Optimism Over Middle East Tensions

On March 25, Japan's stock market saw a significant rise of approximately 3%, driven by cautious optimism regarding a potential easing of Middle East tensions. According to Jin10, the Nikkei 225 index increased by 2.93% to 53,784.43 points, while the TOPIX index climbed 2.5% to 3,648.78 points. U.S. President Donald Trump stated on Tuesday that the United States is actively negotiating to end the conflict with Iran. Japan's economy, heavily reliant on imported energy, is particularly vulnerable to disruptions in oil transport and price fluctuations due to such conflicts. Nomura Securities strategist Wataru Akiyama noted that the sharp decline in crude oil prices on Wednesday appears to be the primary driver behind the Nikkei's rebound. "Expectations of easing Middle East tensions seem to be pushing the stock market higher," Akiyama said, "However, uncertainty has not been completely eliminated." Among individual stocks, Tokio Marine Holdings led the gains with a 9.8% surge, marking its second consecutive day of increases following Berkshire Hathaway's disclosure of its stake acquisition in the insurance company. Following closely were Furukawa Electric and SoftBank Group, which rose by 8.7% and 8%, respectively, benefiting from the ongoing momentum in AI-related investments.