Japan’s Nikkei rises 2% and the yen firms after hints of domestic pension fund reallocation, while chip stocks rebound on US capex plans.
Asian equities surged on a rebound in chip stocks, driven by a major US memory maker’s capital expenditure pledge. Japan’s Nikkei climbed 2% and the broader Topix gained 0.75%, led by semiconductor-linked names, mirroring overnight tech gains on Wall Street.
Japan’s 10-year government bond yield retreated from a three-decade high, while the yen strengthened against the dollar. Finance ministry comments suggested efforts to encourage domestic pension funds, including GPIF, to increase local allocations, providing structural support for the currency.
Korean markets saw mixed moves, with equities rallying sharply but still posting a third consecutive weekly loss. The won fluctuated after a top currency official downplayed recent weakness, while broader risk sentiment remained resilient despite lingering Iran-US tensions.