The Nikkei rebounded after six straight days of declines, rising to ¥65,550.68 as of the morning. The gain was limited to 1.75%, while TOPIX rose 1.83% to 4,072.71.
Japanese stocks saw investors buy back shares after the sharp decline the previous week, but the Nikkei's gain was limited as caution prevailed ahead of the US midterm elections. During the session, the Nikkei was up 1.75% at ¥65,550.68 from the previous day, while the market as a whole was expected to be down 0.8% for the week.
Among major Japanese stocks, Tokyo Electron rose 2.12%, Kioxia gained 3.34% and SoftBank Group was up 1.3%. Advantest, a semiconductor-related stock, rose 0.64%, recovering its losses.
BayCurrent Holdings surged 17.25% after announcing its policy on the use of funds, leading the Nikkei higher. Among bank stocks, Mitsubishi UFJ Financial Group and Mizuho Financial Group rose 1.64% and 1.71%, respectively, supporting the market.
The cautious stance of market participants regarding earnings announcements scheduled during the week and the outcome of the US midterm elections was cited as a factor behind the Nikkei's rebound after six straight days of declines.
On the Tokyo Stock Exchange Prime Market, 83% of the 1,500 stocks traded were up, 13% were down and 2% were unchanged.