Japan’s Nikkei Stock Average Rallies as G7 Moves to Stabilize Energy Markets

Reuters

12:07 JST, March 10, 2026

TOKYO, March 10 (Reuters) – Japan’s Nikkei share gauge rallied on Tuesday, recovering some losses from a plunge in the previous session, as investors reacted to moves by major economies to tap oil reserves in order to stabilize markets shaken by the Middle East war.

The benchmark Nikkei 225 Index .N225 was up 3.17% at 54,399.08, as of the midday break, recouping some losses after a 5.2% plunge on Monday. The broader Topix .TOPX climbed 2.75% to 3,674.24.

Japanese Finance Minister Satsuki Katayama said G7 energy ministers are expected to meet tonight to discuss the process of releasing oil reserves.

U.S. President Donald Trump said the war in the Middle East could be over soon, even as Iran’s hardliners staged a show of loyalty to new Supreme Leader Mojtaba Khamenei.

“There is clearly a rebound effect from yesterday’s sharp decline,” said Maki Sawada, an equities strategist at Nomura Securities. “The situation remains dependent on Middle East developments… Therefore, we certainly see the possibility of another downturn.”

Data on Tuesday showed Japan’s economy grew faster than initially estimated in the final quarter of 2025, supported by rapid business investment, though the current Middle East conflict casts a shadow over the growth outlook.

In the Nikkei index, 207 stocks advanced while 18 declined, with the biggest gains concentrated in the artificial intelligence sector, which is highly sensitive to energy prices due to its substantial power requirements for computing.

Leading the rally, Lasertec 6920.T, a semiconductor and inspection equipment maker, surged 14.2%, followed by Sumitomo Electric Industries 5802.T, up 11.6%, and Furukawa Electric 5801.T, which gained 10.3%.