Japanese equities continued to advance on optimism that the US and Iran may end their conflict. US stocks rose overnight (14th), while foreign investors bought equity index futures and heavyweight technology stocks, supporting the broader market. The Nikkei 225 opened 387 pts higher and extended gains, once rising 708 pts to an intraday peak of 58,585, before closing up 256 pts or 0.4% at 58,134.In AI and semiconductor-related stocks, SoftBank (9984.JP) surged 4.8%, Advantest (6857.JP) rose 2.2%, while Tokyo Electron (8035.JP) and Disco (6146.JP) fell 0.5% and 1.5%, respectively. Lasertec (6920.JP) dropped 3.3%, and Kioxia (285A.JP) retreated 7.4%. Cable makers Furukawa Electric (5801.JP) and Sumitomo Electric (5802.JP) declined 5.6% and 5.2%, respectively, while Fujikura (5803.JP) slid 4.2%.Heavy machinery stocks Mitsubishi Heavy Industries (7011.JP), Kawasaki Heavy Industries (7012.JP) and IHI (7013.JP) fell between 3.5% and 4.3%. Among metal stocks, JX Advanced Metals (5016.JP) and Mitsui Mining & Smelting (5706.JP) dropped 5.1% and 6.7%, respectively, while Sumitomo Metal Mining (5713.JP) gained 2.4%. Rare earth-related MODEC (6269.JP) declined 4.6%. Oil producer Inpex (1605.JP) fell 3.7%. Trading houses Mitsui & Co. (8031.JP) and Mitsubishi Corporation (8058.JP) slipped 3.8% and 3.9%, respectively.Banking stocks Mitsubishi UFJ Financial Group (8306.JP), Sumitomo Mitsui Financial Group (8316.JP) and Mizuho Financial Group (8411.JP) rose between 2% and 2.4%.According to reports, beverage and health products company Suntory (2587.JP) will acquire the over-the-counter drug business of Daiichi Sankyo (4568.JP) for approximately JPY200 billion (approximately USD1.2 billion). Suntory rose 1.2%, while Daiichi Sankyo climbed 3.6%.Among other stocks, Fast Retailing (9983.JP) fell 0.4%, Tokyo Electric Power (9501.JP) declined 2.7%, Nissan (7201.JP) and Ryohin Keikaku (7453.JP) rose 2.9% and 3.5%, respectively, Hitachi (6501.JP) advanced 5.3%, and Rakuten Group (4755.JP) gained 2.2%.The USD/JPY was quoted at 159.01. (fc/u)
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