Japan’s Nikkei share average rebounded 0.2% to close at 39,676.34, recovering from a three-week low after previously dipping to 39,519.39 on Monday. The broader Topix index also showed gains, adding 0.4%. The rebound was largely driven by a strong performance in the chip sector, with notable contributions from Advantest, up 1.82%, Tokyo Electron, rising 0.9%, and Shin-Etsu Chemical, increasing by 0.7%. This positive movement was influenced by an overnight rally in US chip stocks, particularly Nvidia, alongside a natural recovery from a recent sell-off.
The shipping sector saw the most impressive gains, soaring 6.81%. Nippon Yusen led this surge with a 7.9% rise after increasing its profit forecast, closely followed by Kawasaki Kisen Kaisha, which rose 7.3%.
For markets, the standout performance of the shipping sector, with significant gains from Nippon Yusen and Kawasaki Kisen Kaisha, indicates a strengthening industry outlook. This sector outpaced even the banking sector’s 1.56% advance, demonstrating robust investor confidence.
On a global scale, the rebound in Japan’s chip stocks, fueled by gains in US counterparts like Nvidia, underscores the interconnected nature of global markets. As the tech and shipping sectors display resilience, there could be broader implications for market stability and investor sentiment worldwide.
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