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Japan's Nikkei surges on trade deal hopes lift tech; Toyota Industries slides
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Japan's Nikkei surges on trade deal hopes lift tech; Toyota Industries slides
Jun 4, 2025 12:30 AM

TOKYO, June 4 (Reuters) - Japanese stocks snapped a

three-session skid on Wednesday after the yen weakened and hopes

rose for a potential trade deal that could reopen the technology

markets with China.

The benchmark Nikkei 225 Index closed 0.8% higher,

while the broader Topix added 0.5%. Gainers outnumbered

decliners on the Nikkei, with 138 stocks advancing versus 82

ending in the red.

Chip sector heavyweights Advantest ( ADTTF ) and Disco

rose 1.9% and 1.2%, respectively, following U.S. tech

shares' overnight gains.

Nintendo ( NTDOF ) jumped 3.4% ahead of the debut of its

much-anticipated Switch 2 console on Thursday.

Nvidia ( NVDA ) and other chipmakers drove gains in U.S.

stocks overnight ahead of the talks between U.S. President

Donald Trump and China's leader Xi Jinping this week to address

tariff and trade disputes that have roiled global markets.

The trend of rising semiconductor stocks spread to the

Japanese stock market on the day along with hopes of progress in

trade talks, Wataru Akiyama, a strategist at Nomura Securities,

said.

"Semiconductor-related shares are on the rise due to

expectations of strong results stemming from chip demand centred

around AI."

The yen was little changed at 143.94 per dollar,

after a 0.9% slide on Tuesday, benefiting exporters.

The United States is expecting countries to make their best

offers on trade negotiations by Wednesday as sweeping tariffs

loom. However, Japan has not received a letter from the U.S.

seeking its best proposals on trade talks, Chief Cabinet

Secretary Yoshimasa Hayashi said.

Toyota Industries ( TYIDF ) slid 12% after Toyota Motor ( TM )

said it would take the forklift maker private in a $33

billion deal, much lower than the amount indicated in earlier

media reports. Toyota Motor's ( TM ) shares climbed 1.9%.

The largest percentage gainers on the Nikkei were Furukawa

Electric ( FUWAF ), up 6.3%, followed by Tokuyama ( TKYMF ), which

gained 6%.

The biggest losers were BayCurrent ( BYCRF ), down 2.3%,

followed by Yamato Holdings ( YATRF ), which shed 1.8%.

(Rocky Swift in Tokyo; Editing by Sumana Nandy and Sonia

Cheema)

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