Global Market: Nikkei rises as Wall Street gains, oil prices fall

Japan's Nikkei share average rose on Tuesday, supported by gains on Wall Street and a decline in crude oil prices. Investors remained cautious ahead of a government bond auction and a speech by the Bank of Japan governor, according to a report by Reuters.

The Nikkei rose 0.2% to 70,081.53 at the end of the morning session, while the broader Topix gained 0.4% to 4,163.61. Of the Nikkei's 225 constituents, 140 advanced, 82 declined and three were unchanged.

All three major US stock indexes closed higher overnight, with the tech-heavy Nasdaq Composite hitting a record high as technology stocks, including Nvidia, rallied.


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Japanese technology shares were mixed. Chip-equipment maker Advantest rose 1.7%, while SoftBank Group, which invests heavily in artificial intelligence-focused startups, fell 2.7%, the report stated.

The decline in crude oil prices also supported Japanese equities, given the country's heavy reliance on imported energy, particularly from the Middle East, the report stated, citing Nomura Securities strategist Wataru Akiyama.

Investors are now awaiting the results of a 10-year Japanese government bond auction later on Tuesday. Japanese government bond yields have climbed to multi-decade highs amid concerns over Prime Minister Sanae Takaichi's expansionary fiscal policies and a selloff in French government debt.

Also Read | Why is France at the centre of a bond market storm?

Markets will also focus on Bank of Japan Governor Kazuo Ueda's speech after the close of Japanese trading. His remarks could offer clues about the central bank's approach to further interest-rate increases.

(Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times)