Stock market today: Japan's Nikkei 225 hits new record close, leading Asian shares higher
Japan's benchmark Nikkei 225 has surged to a record close of 40,913.65, leading markets in most of Asia higher
BANGKOK — Japan’s benchmark Nikkei 225 surged Thursday to a record close of 40,913.65, leading markets in most of Asia higher.
Shares fell in Chinese markets, while U.S. futures edged higher.
Investors worldwide are keen to see the Federal Reserve cut rates that it has been keeping at two-decade highs to slow growth and tame inflation, and hopes have been reviving that price pressures are easing enough to make that possible.
The Nikkei 225 gained 0.8% to 40,913.65, with buying of automakers' shares and other export oriented stocks pushing the benchmark to an all-time high.
Toyota Motor Corp.'s shares jumped 2% and Honda Motor Co. climbed 3%. Nissan Motor Corp. rallied 4.5% and shares in computer testing equipment maker Advantest Corp. gained 2.1%.
The Nikkei 225’s all-time high during intraday trading is 41,087.75, on March 22. Its previous record close was 40,888.43, also set on March 22.
Investors have piled into the Japanese market partly due to the cheapness of the Japanese yen, which is trading at 34-year lows against the dollar. A weak yen tends to push the profits of exporters higher when they are repatriated to Japan.
Changes in regulations on investment accounts have also boosted share purchases.
The Nikkei 225 index has gained 22.4% so far this year. The index surged in the late 1980s during Japan’s bubble economy, when asset prices soared. But it collapsed when that financial bubble imploded in early 1990 after hitting its earlier record of 38,915.87.
Elsewhere in Asia, Hong Kong's Hang Seng recovered from early losses, rising 0.2% to 18,018.72, and the Shanghai Composite index shed 0.8% to
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