The Nikkei Average Index closed up 635 points or 1.3%, Kioxia rose 10.6%

Japanese stocks rose today (10th), as the market anticipates the end of the U.S. federal government shutdown. Japanese Prime Minister Sanae Takaichi proposed setting new fiscal targets to increase government spending flexibility, leading to short-term capital inflows into Japanese stock futures, boosting the market, with semiconductor stocks seeing increased demand. The Nikkei average opened 368 points higher, with the initial gain narrowing to 116 points, dipping to 50,392 points before rising again, and at the close, it had risen 693 points to a high of 50,969 points, finishing the day up 635 points or 1.3%, at 50,911 points.

Foreign media reported that U.S. memory chip maker SanDisk significantly raised flash memory contract prices by up to 50%, prompting several module manufacturers to halt shipments. Memory chip stock Kioxia (285A.JP) surged 10.6%. In other AI concept and semiconductor stocks, Advantest (6857.JP) and Tokyo Electron (8035.JP) rose 3.8% and 4.3%, while SoftBank (9984.JP) and Discus (6146.JP) increased by 2.6% and 3.1%, respectively. Raytech (6920.JP) fell 0.9%.

In the wire sector, Furukawa Electric (5801.JP) dropped 8.1%, while Sumitomo Electric (5802.JP) and Fujikura (5803.JP) rose 3% and 0.5%. Electric power stock Tokyo Electric Power Company (9501.JP) increased by 1.3%. Heavy industry stocks Mitsubishi Heavy Industries (7011.JP) and IHI (7013.JP) fell 2% and 2.2%, while Kawasaki Heavy Industries (7012.JP) dropped 0.4%. JX Metals (5016.JP) rose 2%.

In terms of earnings, Honda (7267.JP) forecasted a 64% year-on-year decline in consolidated net profit for the current fiscal year, with its stock price falling 4.7%. Olympus (7733.JP) reported quarterly operating profit exceeding expectations, with its stock price rising 11.5%. Human resources company Recruit Holdings (6098.JP) and Food & Life Companies (3563.JP), which operates Sushi-Ro, retreated 4.5% and 1.4%, respectively, after their stock prices surged earlier due to earnings.

In other stocks, Mitsubishi UFJ Financial Group (8306.JP), Panasonic (6752.JP), Toyota (7203.JP), and Sony (6758.JP) rose between 0.1% and 0.7%, while Fast Retailing (9983.JP) and Rakuten Group (4755.JP) increased by 1.8% and 3.4%. Hitachi (6501.JP) fell 0.5%, while Nintendo (7974.JP) and Sanrio (8136.JP) dropped 3.5% and 5.3%, respectively.

The Japanese yen is slightly weak, with the dollar rising to 154.01 yen