FX.co ★ Japanese Shares Track Wall Street Higher

The Nikkei 225 Index rose 0.4% to above 70,200 on Tuesday, reaching a three-month high and tracking strong gains on Wall Street, as investors largely shrugged off worries about elevated bond yields. Sentiment was additionally bolstered by falling oil prices, amid signs of increased supply from the Middle East, which helped ease concerns for Japan’s oil-import-dependent economy.

In corporate news, Toyota Motor Corp. is counting on its new Land Cruiser FJ to counter intensifying competition from Chinese automakers, with sales in Japan and Southeast Asia so far exceeding expectations. Technology and AI-related stocks led the advance, including Advantest (up 2%), Fujikura (2.3%) and Lasertec (0.7%). Financials also gained, with Mitsubishi UFJ up 0.5%, Mizuho Financial rising 1.1% and Sumitomo Mitsui adding 0.5%.