SINGAPORE, June 18 - Japan's Nikkei share average climbed to a four-month peak on Wednesday. This rise was fueled by a weaker yen, although investors remained cautious due to the escalating conflict between Israel and Iran.
The Nikkei increased by 0.59% to reach 38,766.01 as of 0226 GMT, briefly touching 38,786.64, its highest point since February 21. The broader Topix index also saw a rise of 0.4%.
Fast Retailing, the parent company of Uniqlo, saw a 1.4% increase. Nintendo and chip firm Advantest also contributed significantly, rising 6% and 1.1%, respectively. These gains were partially offset by geopolitical concerns.
Geopolitical tensions, particularly in the Middle East, are causing investor nervousness. Reports indicate the U.S. military is deploying more fighter aircraft to the region. The yen reached a one-week low of 145.445 per U.S. dollar, which typically supports exporter stocks.
The Bank of Japan's decision to maintain steady interest rates and slow its balance sheet drawdown next year had minimal impact. BlackRock Investment Institute continues to favor Japanese equity markets, citing shareholder-friendly reforms.