Japan Stocks Rally, Yen Falls to Lowest Since 1990 – Asia Market Wrap
Japanese markets rose despite a weak yen, as the rest of Asia battled for momentum after a late selloff on Wall Street. The dollar increased in comparison to the majority of its major counterparts.
The yen recovered some of its losses after falling to its lowest level against the dollar in almost 34 years following Japan’s Finance Minister Shunichi Suzuki’s sharp intervention warning. The currency’s collapse has fueled anticipation that the country may step up its attempts to reverse the trend, putting the Nikkei 225 index on track for a record closing high.
Shares fell in China and Hong Kong, with technology companies accounting for the vast bulk of the losses. The dip occurred as the region’s AI-related firms matched the overnight drop in Nvidia’s shares, and as Alibaba’s decision to postpone the IPO of its logistics subsidiary dampened morale.
Japan’s Nikkei 225 is one of the few Asian equities indices that can match the pace of the US rise, having gained more than 20% this year and on course for one of its best quarters ever. Hong Kong has been unable to fully recover from its early-year plunge and is expected to fall slightly over the next three months, while Sydney is expected to rise somewhat.