Japan's Nikkei closes above 68,000 mark as AI stocks surge

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03/06/2026 07:59

Updates with closing prices
By Satoshi Sugiyama

    TOKYO, June 3 (Reuters) - Japan's Nikkei closed above 68,000 for the first time on Wednesday, just two days after breaching 67,000, as a rally in AI-related stocks outweighed concerns over the Middle East.
The Nikkei .N225 climbed 2.5% to close at 68,402.13. The broader Topix .TOPX earlier surpassed the 4,000 mark for the first time before closing 1.8% higher at 3,996.2.
Shares of Kioxia Holdings 285A.T rose 7.2% to top the 80,000-yen level for the first time after the memory-card maker said it will start paying dividends from fiscal 2027, helped by strong earnings. It also briefly overtook Toyota Motor 7203.T as Japan's second-most valuable firm, according to the Nikkei newspaper. 
Chip-making equipment maker Tokyo Electron 8035.T climbed 13.4% to a record-closing high, providing the biggest boost to the Nikkei by adding 723 points. Shares of semiconductor testing equipment maker Advantest 6857.T, up 5.1%, lifted the blue-chip index by 323 points.
"Following the overnight lead from Wall Street and several additional positive catalysts, semiconductor and AI-related shares are once again among the biggest gainers today," said Maki Sawada, an equities strategist at Nomura Securities. "Gains in AI-linked shares, supported by robust demand expectations, continue to underpin the rally."
There were 164 advancers in the Nikkei index against 60 decliners. 
Semiconductor equipment maker Screen Holdings 7735.T was the top gainer in the index, surging 17.9% to a record closing high, while camera and precision optics maker Nikon 7731.T jumped nearly 10%.
On the downside, software testing provider SHIFT 3697.T fell 12.2%, leading declines, while film studio and theater operator Toho 9602.T slipped 4.1%. 
Among the Tokyo Stock Exchange's 33 industry groups, 25 climbed, led by a 5.7% jump in nonferrous metals .INFRO.T.
The telecommunications sector .ICOMS.T was the worst performer, falling nearly 2%. 
Oil prices, meanwhile, rose about 1% after hostilities in the Middle East escalated, with Iran firing missiles at Kuwait and Bahrain, while diplomatic talks with the United States showed little progress.


 (Reporting by Satoshi Sugiyama; Editing by Sherry Jacob-Phillips)
 ((Satoshi.Sugiyama@thomsonreuters.com;))