Tokyo stocks rebounded sharply on June 3 as risk-on sentiment fueled heavy buying in chip-related shares, lifting the benchmark Nikkei index above the 68,000 yen mark at the close for the first time. Intraday gains briefly exceeded 2,000 yen before the index pared some advances.

The Nikkei Stock Average ended up 1,667.89 yen at 68,402.13 yen. On the Prime Market, estimated volume reached 2.55 billion shares, with trading value totaling 12.27 trillion yen. Advancing issues outnumbered decliners 1,018 to 512, with 33 ending unchanged.

Inflows into the Tokyo market were driven by overnight gains on Wall Street, where the Philadelphia Semiconductor Index (SOX) jumped 5.9% to approach record highs. This sparked widespread buying across Japanese chip-equipment makers, component suppliers, and materials providers. While domestic long-term interest rates climbed, a weaker yen in afternoon trading provided an additional tailwind for export-oriented sectors. Twenty-five of the Tokyo Stock Exchange's 33 industry sectors advanced, led by nonferrous metals. Despite the Nikkei's massive rally, advancing issues accounted for just 65% of the total market, though trading value remained robust above the 12 trillion yen threshold.

Among individual stocks, Kioxia Holdings <285A> extended gains on record trading turnover despite intraday volatility, while Murata Manufacturing Co.,Ltd. <6981> finished firm. Heavyweight Tokyo Electron Limited <8035> surged, alongside significant gains in Lasertec Corporation <6920> and DISCO CORPORATION <6146>. Wire and cable makers Fujikura Ltd. <5803> and Furukawa Electric Co., Ltd. <5801> attracted strong buying, while IBIDEN CO.,LTD. <4062> and Renesas Electronics Corporation <6723> also advanced noticeably. Megabanks, including Mitsubishi UFJ Financial Group, Inc. <8306>, trended higher. Rasa Industries,Ltd. <4022> topped the gainers list by hitting its daily limit-up, while NIHON DEMPA KOGYO CO., LTD. <6779>, TerraSky Co.,Ltd <3915>, and MUSASHI SEIMITSU INDUSTRY CO.,LTD. <7220> locked upper limits for a consecutive session.

Conversely, SoftBank Group Corp. <9984> fell on profit-taking, and Mitsui Kinzoku Company, Limited <5706> gave up ground. IHI Corporation <7013> languished, while index heavyweight FAST RETAILING CO., LTD. <9983> tested lower bounds. Tech giants FUJITSU LIMITED <6702> and NEC Corporation <6701> also declined. SHIFT Inc. <3697> plunged, while IT and AI services peers Members Co., Ltd. <2130>, PKSHA Technology Inc. <3993>, and TIS Inc. <3626> posted sharp losses. Sakai Chemical Industry Co.,Ltd. <4078> faced heavy profit-taking liquidations.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.