Japan’s Nikkei Stock Average Ends Higher on Trump’s Easing Tariff Tone, Weaker Yen (UPDATE 1)

Reuters

12:30 JST, April 25, 2025 (updated at 16:30 JST)

TOKYO, April 25 (Reuters) – Japan’s Nikkei share average ended higher on Friday as investors scooped up technology stocks after the White House softened its trade stance against China and the yen weakened following talks between Japan-U.S. finance chiefs.

The Nikkei rose for a third straight session, closing 1.9% higher at 37,705,74. The index has almost fully recouped its losses since U.S. President Donald Trump’s April 2 tariff announcements. For the week, it rose 0.89%.

The broader Topix rose 1.37% to 2,628.03 and posted a 1.3% weekly gain.

“With Trump easing his tone about his tariff plans, investors have started looking into other factors, such as corporate earnings and outlook of the chip industry,” Yusuke Sakai, a senior trader at T&D Asset Management.

This week, the Trump administration shifted its tone against China and said the situation was unsustainable. China, meanwhile, is considering exempting some U.S. imports from its 125% tariffs in the biggest sign yet of Beijing’s concerns about the economic fallout.

Investors’ worries about the yen’s further gains have eased after the talks between the finance chiefs of Japan and the U.S., said Sakai.

Japanese Finance Minister Katsunobu Kato said on Thursday he agreed with U.S. Treasury Secretary Scott Bessent to continue “constructive” dialog on currency policy, but did not discuss setting currency targets or a framework to control yen moves.

The yen was last down 0.65% at 143.56 against the dollar, after hitting a seven-month high of 139.885 this week.

Among individual stocks, electric motor maker Nidec surged 12.48%. It became the biggest percentage gainer in the Nikkei after it reported a larger-than-expected quarterly profit and forecast a record annual operating profit.

Fujitsu jumped 4.8% after the computer maker said its annual net profit for the year to March 2026 will be up 77% from the previous year.

Chip-related stocks Tokyo Electron and Advantest rose 4.24% and 4.64%, respectively, providing the biggest boost to the Nikkei.

Truck maker Hino Motors fell 5% and was the worst performer on the index.