Asian Stock Markets Hit New Highs Again… Nikkei Surpasses 65,000 for the First Time

Progress in US-Iran Talks
Expectations Rise for Reopening of Strait of Hormuz

Buoyed by progress in ceasefire negotiations between the United States and Iran and expectations of the reopening of the Strait of Hormuz, major Asian stock markets set new record highs. Japan’s Nikkei 225 index surpassed the 65,000 mark for the first time, while Taiwan’s Taiex index also soared intraday to 43,645.78 points, reaching a new all-time high.

According to Nikkei and other sources on the 25th, Japan’s leading stock index, the Nikkei 225 Average (Nikkei Index), closed at 65,158.19, up 1,819.12 points (2.87%) from the previous trading day. The JPX-Nikkei Index 400 ended the session at 35,781.11, up 476.94 points (1.35%), and the TOPIX index finished at 3,942.57, up 50.11 points (1.29%) from the previous day.

People are passing in front of the Nikkei 225 index displayed on an electronic board at a securities firm in Tokyo, Japan, on the 25th. Photo by AP

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Nikkei reported that excessive inflation concerns have eased as international oil prices fell following speculation that a ceasefire agreement between the United States and Iran is imminent. Declining long-term interest rates also helped relieve valuation pressures on high-growth stocks, particularly those related to artificial intelligence (AI) and semiconductors, leading to concentrated buying in these sectors.

Taiwan’s stock market also reached a record high, riding on the atmosphere of eased tensions in the Middle East. According to the Central News Agency (CNA), the Taiex index closed at 43,440.40 points, a sharp increase of 3.26% for the day. During the session, it surged to 43,645.78 points, surpassing the previous intraday high set on the 22nd. Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest foundry and the top company by market capitalization in Taiwan, led the rally with a 2.44% gain.

The Shanghai Composite Index, China’s main stock index, also closed up nearly 1%. Semiconductor Manufacturing International Corporation (SMIC), the largest foundry in China, hit its daily upper limit on the Shanghai Stock Exchange near the end of trading, reaching a record high.

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