Nikkei 225 Jumps on Weak US Jobs Data Boosting Tech Stocks
The Nikkei 225 Index surged over 2% on Monday, nearing the 70,000 mark, marking a three-month high. The rally was driven by softer-than-anticipated US jobs data, which reduced expectations of further interest rate hikes by the Federal Reserve.
Despite the gains, traders remained cautious due to high bond yields and geopolitical tensions in the Middle East. Investors in Japan are also awaiting key economic reports this week, including data on wage growth, household spending, and consumer confidence.
Technology and AI-related stocks led the market gains. Kioxia Holdings rose 1.3%, Advantest climbed 4.4%, SoftBank Group increased 3.3%, Tokyo Electron gained 3.2%, and Taiyo Yuden added 3%. SoftBank Group's CEO Masayoshi Son, a vocal proponent of AI, expressed concerns over safety risks as machines advance rapidly, calling for global cooperation to manage the technology responsibly.