Nikkei closes higher on chip gains, yen intervention fears weigh

Kioxia Holdings

04/08/2026 08:08

Updates with closing prices
By Satoshi Sugiyama
TOKYO, Aug 4 (Reuters) - Japan's Nikkei share average ended higher on Tuesday, supported by relatively upbeat demand for chip-related stocks, though investors remained wary of possible further yen-buying intervention.
The Nikkei .N225 closed 0.32% higher at 63,957.53, after swinging between gains and losses. The broader Topix .TOPX nudged 0.04% higher to 3,961.78.
Semiconductor-related stocks were mostly positive, with cables and optical fibre manufacturer Fujikura 5803.T up 7.88%, memory chipmaker Kioxia 285A.T rising nearly 6% and chip-making equipment maker Tokyo Electron 8035.T gaining 3.11%.  
Japan's Finance Ministry said on Monday Tokyo and Washington had conducted coordinated yen-buying intervention and would not hesitate to take further action.
"Authorities have also indicated they could intervene again if the yen weakens further, so caution remains," said Shuutarou Yasuda, a market analyst at Tokai Tokyo Intelligence Laboratory.
The dollar traded at 157.62 yen JPY=, up 0.29%. A stronger yen reduces the value of overseas revenue for Japan's many heavyweight exporters.
Meanwhile, Toyota Motor 7203.T shares ended 1.52% lower after falling as much as 3.12%, as the world's biggest automaker posted a fifth straight quarterly earnings decline, hurt by slumping sales in China.
The company raised its annual operating profit forecast by 13% to reflect a weaker yen and announced a share buyback plan worth up to 1 trillion yen, or 4.22% of outstanding stock.
Overall, market breadth was negative, with 129 decliners in the Nikkei against 94 gainers and two unchanged.
The largest losers by percentage in the index were meat processor NH Foods 2282.T, down 8.41%, followed by global glass and chemicals manufacturer AGC 5201.T, which shed 7.88%, after their earnings failed to impress investors.
The largest percentage gainer on the index was motorcycle maker Yamaha Motor 7272.T, which surged 13.4% to close at a more than two-year high, after stellar earnings and an upward revision to its full-year forecast. Cable and components maker Furukawa Electric 5801.T was up 11.44%. 

 (Reporting by Satoshi Sugiyama; Editing by Subhranshu Sahu)
 ((Satoshi.Sugiyama@thomsonreuters.com;))