Japan’s Nikkei Stock Average Ends Higher; NTT Data Surges on Takeover Report (UPDATE 1)

Reuters

12:30 JST, May 8, 2025 (updated at 16:30 JST)

TOKYO, May 8 (Reuters) – Japan’s Nikkei share average rose on Thursday as chip-related shares tracked a rally in U.S. semiconductor stocks, while NTT Data surged following a takeover report.

The Nikkei ended 0.41% higher at 36,928.63 after breaking a seven-day winning run on Wednesday.

The broader Topix reversed course to end 0.09% higher at 2,698.72, posting a nine-session rising streak.

“The two main indexes have recouped their losses quickly (since U.S. President Donald Trump’s tariff announcement last month), but the speed of the recovery has slowed down,” said Seiichi Suzuki, chief equity market analyst at Tokai Tokyo Intelligence Laboratory.

“Investors have become cautious as the Nikkei approached the psychological level of 37,000.”

Overnight, U.S. stocks rallied close to the closing bell as chipmakers jumped after Bloomberg reported Trump’s administration plans to rescind artificial intelligence chip curbs.

A U.S. Commerce Department spokesperson subsequently confirmed the report. The PHLX semiconductor index ended 1.7% higher after falling as much as 1% earlier in the session.

Japan’s chip-testing equipment maker Advantest jumped 3.73% and chip-making equipment maker Tokyo Electron gained 2.05%.

NTT Data surged 16.73% to a daily limit high after the Nikkei newspaper reported telecom giant NTT plans to buy the shares it does not already own through a public tender offer.

After the market closed, NTT announced it would launch a tender offer for NTT Data at 4,000 yen per share, representing a 34% premium from Wednesday’s closing price.

Drug maker Torii Pharmaceutical surged 13.62% after peer Shionogi said it would acquire Torii, a subsidiary of Japan Tobacco, for more than 150 billion yen.

Toy maker Bandai Namco Holdings fell 8.19%, becoming the biggest percentage loser on the Nikkei.

Of more than 1,600 stocks trading on the Tokyo Stock Exchange’s prime market, 54% rose and 42% fell, with 4% flat.

($1 = 143.6600 yen)