Japan’s Nikkei Stock Average Rises after Trump Announces Iran-Israel Ceasefire

Reuters

11:52 JST, June 24, 2025

TOKYO, June 24 (Reuters) – Japan’s Nikkei share average rose on Tuesday as investors’ risk appetite was boosted after U.S. President Donald Trump said Iran and Israel agreed to a ceasefire.

As of 0212 GMT, the Nikkei .N225 rose 1.1% to 38,778.71, while the broader Topix .TOPX rose 0.78% to 2,782.78.

Trump said a “complete and total” ceasefire between Israel and Iran will go into force with a view to ending the 12-day conflict between the two nations, moments after both sides threatened new attacks.

“Following Trump’s announcement, the market turned to risk on,” said Shuutarou Yasuda, a market analyst at Tokai Tokyo Intelligence Laboratory.

Technology stocks led the gains on the Nikkei, with chip-making equipment maker Tokyo Electron 8035.T climbing 4.4% to boost the index the most.

Technology investor SoftBank Group 9984.T advanced 4.7%.

“But the yen’s gain against the dollar capped the Nikkei’s gains,” Yasuda said.

The dollar fell following the news, pushing the yen up 0.3% at 145.585. The yen fell to as low as 148 per dollar in its lowest in more than a month in the previous session.

A stronger Japanese currency tends to hurt shares of exporters, as it decreases the value of overseas profits in yen terms when firms repatriate them to Japan.

Honda Motor 7267.T lost 0.39% while Nissan Motor 7201.T slipped 0.29%.

Energy stocks fell as U.S. crude futures CLcv1 tumbled, with Inpex 1605.T falling 5.6% to be the worst percentage loser on the Nikkei. Oil refiner Eneos Holdings 5020.T slipped 1.98%.

Shipping firms also fell, with Kawasaki Kisen 9107.T and Mitsui OSK Lines 9104.T losing 1.94% and 1.58%, respectively.

Of more than 1,600 stocks trading on the Tokyo Stock Exchange’s prime market, 69% rose and 26% fell, with 4% trading flat.