FX.co ★ Japanese Shares Track Wall Street Higher

On Friday, the Nikkei 225 Index experienced a 1.5% increase, surpassing the 50,900 mark, while the broader Topix Index climbed 1.8% to reach 3,418. This upward movement reversed the previous session's declines and mirrored Wall Street's strong performance, where the Dow and S&P 500 achieved new record highs. The recent US Federal Reserve rate cut triggered a shift away from high-valued tech and AI sectors towards industries poised for growth amid a resilient economy. Despite this rally, investors remained vigilant ahead of the Bank of Japan’s policy meeting next week, where an interest rate hike is anticipated. Leading the recovery, SoftBank Group soared over 6%, rebounding from previous declines due to concerns regarding AI investment profitability. Other significant gainers included Kioxia Holdings at 2.2%, Mitsubishi UFJ at 2%, Toyota Motor at 2.8%, Fast Retailing at 3.4%, and Fujikura at 1.4%.