Nikkei Climbs Fifth Straight Session Amid Rate Hopes

The Nikkei Stock Average surged by 850 yen on September 25 to close at 66,364, marking its fifth consecutive session of gains. The index climbed a total of 1,345 yen for the two-session week, reclaiming the 66,000 level.

Rising U.S. long-term yields lifted Japan's three megabanks by 3-4%, while Nasdaq strength drove buying in semiconductor stocks. SoftBank Group fell 3.2% as its subsidiary Arm slumped, and Shimizu Corporation dropped more than 5% after announcing a convertible bond issuance.

Next week brings a heavy slate of rate-sensitive events, including the U.S. Employment Report, the BOJ Tankan survey, and Tokyo CPI data. With the Nikkei having risen nearly 2,900 yen over five straight sessions, profit-taking is likely to cap further upside.