Japanese stocks surged past 62,000 for the first time Thursday as the Nikkei 225 climbed 5% in a broad market rally. The S&P 500 also hit an all-time high of 7,365, extending its rebound from March's low. Investors returned from Tokyo's Golden Week holidays to a wave of U.S. tech strength that had built up during the break.
Tokyo's Post-Holiday Surge
Japanese markets roared back after the Golden Week closure with the Nikkei 225 breaking the 62,000 barrier. Tech and materials stocks led the charge as Ibiden jumped 22.43% and SoftBank Group rose 16.45%. Mitsui Kinzoku added 17.05% while Renesas Electronics gained 13.42%. Tosoh Corporation contributed with an 11.03% increase. The delayed reaction came after investors finally processed a week of strong U.S. tech performance.
U.S. Records Continue
The S&P 500 closed at 7,365 Thursday, marking its highest level ever. That's more than a 16% jump from its March 30 low. The index maintained its steady climb through the spring without major corrections. This fresh high extended the current bull run that began earlier this year.
Regional Divergence
Asian markets showed mixed results after Tokyo's surge. Hong Kong's Hang Seng rose 1.48% and Australia's S&P/ASX 200 advanced 0.83%. China's CSI 300 edged up just 0.13% while South Korea's Kospi slipped 0.17% after hitting its own record Wednesday. The varied reactions highlighted how Tokyo's holiday-fueled rally didn't spread evenly across the region.
Iran Deal Uncertainty
President Trump told PBS that a U.S.-Iran agreement might emerge before his upcoming trip to China. He also warned of potential military action if Iran rejects the proposed peace deal. These comments kept oil prices volatile and made global risk markets sensitive to negotiation headlines. Traders now watch for any new developments from the diplomatic channels.
Markets will focus on Trump's scheduled visit to China, where he suggested a possible Iran deal could materialize. The president's dual message of potential agreement and military warning leaves traders balancing optimism against the risk of escalation.
