Japan's Nikkei jumps as chip stocks rally ahead of Sino-US talks
TOKYO: Japan's Nikkei share average advanced 1% on Monday ahead of trade talks between the US and China in London later in the day, with investors watching for any easing of restrictions over semiconductor shipments.
Both countries are under pressure to relieve tensions, with China dominating global exports of rare earth minerals needed for chips and other advanced technologies, while the US has curtailed exports of chip-design software to China.
A phone call between US President Donald Trump and Chinese counterpart Xi Jinping on Thursday led to the Monday talks, with Trump later saying rare earth supply would no longer be a problem for the United States.
Japan's Nikkei bounces as US tariff fears ease, yen softens
The Nikkei rose 1.05% to 38,137.09 as of the midday trading recess.
The broader Topix rose 0.63%.
A sub-index of growth shares rallied 0.8%, outpacing a 0.47% rise in value shares.
Chip-testing equipment maker and Nvidia supplier Advantest was Nikkei's biggest gainer in index-point terms with a 5.17% climb.
'The trade talks in London are at the very least a step in the direction of easing restrictions on chip shipments between the US and China,' buoying the sector on Monday, said Yunosuke Ikeda, chief macro strategist at Nomura.
Artificial intelligence-focused startup investor SoftBank Group jumped 4.03%. Chip-sector stocks Disco and Lasertec rose about 3% each.
Otsuka Holdings, the Nikkei's biggest percentage gainer, soared 8.65% after the drugmaker said its experimental therapy for a potentially life-threatening kidney disease more than halved severe levels of protein in the urine of patients.
On the other end, iSpace was poised to fall by the daily limit for the second straight session after its second failed attempt to put a lunar lander on the moon last week.
The stock was set to slide 20%, with offers to sell outnumbering bids by 9-to-1.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
33 minutes ago
- Express Tribune
Chinese aircraft carriers appear in Pacific together for first time, Japan says
Listen to article Two Chinese aircraft carriers were spotted conducting simultaneous operations in the Pacific for the first time, in a move that Japan's defence minister said signified Beijing's intention to further widen its capabilities beyond its borders. Since May, China has been flexing its muscles by sending an unusually large number of naval and coast guard vessels through a swathe of East Asian waters, according to security documents and officials, in moves that have unnerved regional capitals. Japan's defence ministry has confirmed the two carriers, Liaoning and Shandong, were operating in separate areas in the Pacific on Saturday, both near remote southern islands belonging to Japan. "Japan's prompt disclosure of information concerning the carriers underscores its commitment to deter any forceful, unilateral shifts in the regional status quo," Defence Minister Gen Nakatani told a press conference. He added that Tokyo has engaged with Beijing to ensure its operations did not pose a threat to Japan's national security, but stopped short of criticising the neighbour. Japan is pursuing the build-up of its Pacific air defences and will closely monitor the movements of Chinese naval vessels, Nakatani said. Earlier, Japan said the Liaoning sailed within its Exclusive Economic Zone (EEZ) near Minamitorishima, a remote island east of Iwo Jima. Beijing's activities were consistent with international law and practice, its foreign ministry said. "China has always pursued a defensive national defence policy and hopes that the Japanese side will look at the matter objectively and rationally," ministry spokesperson Lin Jian told a regular news briefing.
Express Tribune
an hour ago
- Express Tribune
Marines deployed in Los Angeles as Trump administration intensifies migrant crackdowns
Listen to article The Trump administration deployed US Marines to Los Angeles on Monday and intensified raids targeting suspected undocumented immigrants, leading to further outrage from street protesters and Democratic leaders, who raised concerns about a national crisis. Around 700 Marines based in Southern California were expected to arrive in Los Angeles by Monday night or Tuesday morning, according to officials, as part of a federal strategy to quell street demonstrations against the immigration raids, which are a key focus of President Donald Trump's second term. Although their mission to protect federal personnel and property is temporary – filling the gap until a full contingent of 4,000 National Guard troops can reach Los Angeles – the deployment represents an extraordinary use of military force in support of a police operation, coming over the objections of state and local leaders who did not request assistance. Meanwhile, US Homeland Security Secretary Kristi Noem pledged to carry out even more operations to round up suspected immigration violators, continuing a crackdown that has provoked protests. Trump officials have labelled the protests as lawless and blamed state and local Democrats for permitting upheaval and protecting undocumented immigrants in sanctuary cities. The military and federal enforcement operations have further polarised America's two major political parties, with Trump, a Republican, threatening to arrest California's Democratic governor, Gavin Newsom, for resisting the federal crackdown. California filed a lawsuit against the Trump administration on Monday to block the deployment of the National Guard and Marines, arguing that it violates federal law and state sovereignty. The top Democrat on the Senate Armed Services Committee, Senator Jack Reed, said he was "gravely troubled" by Trump's deployment of active-duty Marines. "The president is forcibly overriding the authority of the governor and mayor and using the military as a political weapon. This unprecedented move threatens to turn a tense situation into a national crisis," Reed said. "Since our nation's founding, the American people have been clear: we do not want the military conducting law enforcement on US soil," he added. Rare use of military US Marines are known as the first American forces to establish a beachhead in US military interventions, and as the last forces to leave any occupation. While military forces have been deployed domestically for major disasters such as Hurricane Katrina and the attacks of September 11, 2001, it is extremely rare for troops to be used domestically during civil disturbances. Even without invoking the Insurrection Act, Trump can deploy Marines under certain legal conditions or under his authority as commander in chief. The last time the military was used for direct police action under the Insurrection Act was in 1992, when the California governor at the time asked President George HW Bush to help respond to the Los Angeles riots following the acquittal of police officers who had beaten Black motorist Rodney King. Newsom contends it is his responsibility as governor to call in the National Guard, labelling Trump's actions as "an unmistakable step towards authoritarianism." Trump, in turn, said he supported a suggestion by his border czar Tom Homan that Newsom should be arrested for possibly obstructing his administration's immigration enforcement measures. "I would do it if I were Tom. I think it's great," Trump told reporters. Four Days of Protests The protests so far have resulted in a few dozen arrests and some property damage. "What is happening affects every American, everyone who wants to live free, regardless of how long their family has lived here," said Marzita Cerrato, 42, a first-generation immigrant whose parents are from Mexico and Honduras. Protests also erupted in at least nine other US cities on Monday, including New York, Philadelphia, and San Francisco, according to local news outlets. In Austin, Texas, police fired non-lethal munitions and detained several people as they clashed with a crowd of several hundred protesters. Before the Los Angeles dispersal, several hundred protesters gathered outside a detention centre, chanting "free them all," waving Mexican and Central American flags, and directing sometimes vulgar insults toward federal officers. At dusk, officers clashed with protesters who had scattered into the Little Tokyo area of the city. As people watched from apartment balconies and tourists huddled inside hotels, a large contingent of LAPD officers and sheriff's deputies fired several flashbangs and tear gas into the streets. Homeland Security reported that its Immigration and Customs Enforcement division had arrested 2,000 immigration offenders per day in recent days, far above the 311 daily average in fiscal year 2024 under former President Joe Biden. "We conducted more operations today than we did the day before, and tomorrow we are going to double those efforts again," Noem told Fox News' "Hannity." "The more they protest and commit acts of violence against law enforcement officers, the harder ICE is going to come after them." Los Angeles Mayor Karen Bass opposed the clampdown, telling MSNBC, "This is a city of immigrants." Noem countered that, "They are not a city of immigrants. They're a city of criminals."
Business Recorder
2 hours ago
- Business Recorder
KSE-100 rises over 800 points amid budget buzz
The Pakistan Stock Exchange opened trading on a positive note on Tuesday, as the benchmark KSE-100 Index gained over 800 points during the first trading session of the week following the Eid holidays, with investors eyeing upcoming budget measures to be unveiled later in the day. At 12:35pm, the benchmark index was hovering at 122,450.11, a gain of 809.11 points or 0.67%. Buying momentum was observed in key sectors including commercial banks, fertilizer, oil and gas exploration companies, OMCs and refinery. Index-heavy stocks, including PRL, WAFI, MARI, OGDC, POL, HBL, MCB, and MEBL, traded in the green. The federal government today would present the budget 2025–26 with an estimated size of Rs17.6 trillion in the National Assembly for debate and approval. Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb would present the federal Budget-2025-26 in the National Assembly. He would also lay the Finance Bill 2024 in the Senate on the same day, as required under Article 73 of the Constitution. During the previous week, the Pakistan Stock Exchange (PSX) stayed positive, fueled by growing optimism over a potential agreement between Pakistan and the IMF. The benchmark KSE-100 index rose by 1,950 points or 1.6% to close at 121,641 points on the last trading day of the week compared to 119,691 points at the end of the previous week. Overall, four trading sessions were held due to the Eid holiday on Friday, June 6, 2025. Internationally, stocks were buoyant and the dollar remained on guard on Tuesday as trade talks between the United States and China were set to extend to a second day, with tentative signs that tensions between the world's two largest economies could be easing. US President Donald Trump put a positive spin on the talks at Lancaster House in London, which wrapped up for the night on Monday and were set to resume at 0900 GMT on Tuesday. Stocks advanced in Asia, extending their rise from the start of the week. MSCI's broadest index of Asia-Pacific shares outside Japan advanced 0.5%, while Nasdaq futures gained 0.62%. S&P 500 futures edged 0.43% higher. EUROSTOXX 50 futures and FTSE futures both added roughly 0.1% each. This is an intra-day update
