Nikkei Rebounds on Easing Middle East Tensions

The Tokyo stock market saw a significant rebound on July 27, as the Nikkei 225 index surged by 320 points to close at 64,931.19, snapping a two-session losing streak.

The index's advance was largely driven by easing tensions in the Middle East, following reports that U.S. President Trump had decided against launching a large-scale military attack on Iran for the time being.

This news led to a decline in crude oil futures and improved investor sentiment, lifting the overall market.

However, the Nikkei's gains were capped by selling in AI and semiconductor-related stocks, which had declined following a drop in U.S. semiconductor shares late last week.