Tokyo stocks surged from the open after SpaceX reported earnings well above market expectations and swung to profitability, with the Nikkei briefly breaking above ¥65,200.
Tokyo stocks rose from the open on the morning of the 21st, as SpaceX's quarterly earnings significantly exceeded market expectations. Amid strong risk appetite, the Nikkei climbed during trading to around 1,100 points above the previous day's close, reaching the ¥65,200 level. The rebound in the US Dow was also a factor, while buying in AI and semiconductor-related stocks supported the market.
SpaceX reported revenue of $14.58 billion (approximately ¥2.3 trillion) for the July–September 2026 quarter, up more than 160% year on year. The expansion of its AI business contributed to the result, and the company posted its first quarterly profit, sending its shares sharply higher in after-hours trading. This also provided a tailwind for related stocks in the Japanese market.
In Tokyo, AI and semiconductor-related stocks such as Advantest and Kioxia were bought, lifting the Nikkei. Buying also spread to Tokyo Electron, SoftBank Group and electronic components stocks, while financial and pharmaceutical stocks also attracted demand. Fast Retailing and others, however, remained soft.
On the New York Stock Exchange, the Dow closed 529 points higher, the S&P 500 edged up and the Nasdaq slipped slightly. While SpaceX's return to profitability and AI growth drew market attention, uncertainty over US stocks remained, and many market participants said they wanted to assess upcoming futures and currency-market movements.