Japan’s Nikkei Stock Average Ends Higher as Traders Gauge Efforts to Calm Energy Markets (UPDATE 1)

Reuters

12:07 JST, March 10, 2026 (updated at 16:10 JST)

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

The benchmark Nikkei 225 Index .N225 rose 2.88% to close at 54,248.39, recouping some losses after a 5.2% plunge on Monday. The broader Topix .TOPX climbed 2.47% to 3,664.28.

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, 202 stocks advanced while 23 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, closed 14.5% higher, followed by Sumitomo Electric Industries 5802.T, up 8.8%, and Furukawa Electric 5801.T, which ended 8.5% higher.