"The Nikkei index hits a new high, global trade prospects boost Japanese stocks."

Thanks to the optimistic sentiment towards global trade, the Japanese blue-chip stock index reached a historic high on Tuesday. The Nikkei 225 index rose by 2.1% to 42,715.72, surpassing the July 2024 high after the Nikkei 225 index. Following the extension of the truce on tariffs by major countries for 90 days, investors rushed to buy stocks. Exporters such as Sharp and Advantex led the gains. The Nikkei index surged last week as Japan's chief trade negotiator stated that US officials said Washington would stop imposing universal tariffs on Japan and reduce car tariffs as promised. A senior official from the Trump administration said last Friday that the US is contemplating a statement about additional tariffs. As the benchmark stock index in Japan, the Topix index reached a historic high at the end of last month. The Nikkei index, which includes major exporters like car manufacturers and technology companies, has underperformed the Topix index this year as tariff issues have led investors to favor domestically-oriented stocks. "In terms of tariffs now, Japan can basically be seen as a known quantity," said Tim Waterer, chief market analyst at KCM Trade. He stated that reaching an agreement with the US "has brought some certainty for investors."