Tokyo stocks rebounded sharply, with the Nikkei rising more than 1,272 points to close at 66,753.72, its highest close since 19 August. Gains in semiconductor-related stocks and improved risk appetite following the decline in crude oil prices supported a broad-based advance.
Tokyo stocks rose sharply on 30 September, with the Nikkei closing at 66,753.72, up more than 1,270 points from the previous day, while TOPIX rose 1.67% to 4,108.65. The Nikkei reached its highest closing level since 19 August, and all 33 sectors rose. Non-ferrous metals, banks and metal products were among the top gainers and led the market.
The firm performance of US semiconductor stocks the previous day spilled over into Tokyo, lifting Tokyo Electron, a major semiconductor manufacturing equipment maker, 2.69%. SoftBank Group also surged 6.55% on inflows related to OpenAI. TDK and Taiyo Yuden also attracted buying after announcing a business partnership in the electronic components sector.
In energy markets, the restoration of Saudi Arabia's oil pipelines and the decline in US crude futures improved risk appetite, prompting investors to increase their positions, while some stocks declined, including INPEX, which fell 0.11%. Resilience in economically sensitive sectors such as banks and machinery supported the market.
Japan's August industrial production index fell 1.70% month on month on a preliminary basis, while retail sales declined 1.20% month on month, both below market expectations. Despite the release of weak economic data, gains in US technology stocks and stable energy prices helped improve overall sentiment.