Japan’s Nikkei share average surged more than 4% on Wednesday as signs of a ceasefire in the Middle East crisis drove crude oil prices sharply lower and eased concerns of an economic slowdown.
The benchmark Nikkei 225 Index, N225 jumped 4.67% to 55,923.27, while the broader Topix. TOPX climbed 3% to 3,763.51.
US President Donald Trump said on Tuesday he had agreed to a two-week ceasefire with Iran, less than two hours before a deadline he had set for Tehran to reopen the Strait of Hormuz.
Japan’s economy is particularly vulnerable to rises in crude oil prices because of its heavy reliance on imported energy. US crude futures fell about 16.5% to $94 a barrel.
There were 212 advancers on the Nikkei against 10 decliners. The largest percentage gainers were Furukawa Electric 5801.T, up 12.4%, followed by Advantest Corp 6857.T, gaining 9.3% and Resonac Holdings 4004.T, which added 9.3%.
The largest losers were Inpex 1605.T, down 7.4%, followed by Mitsui O.S.K. Lines 9104.T, 4.1% lower, and Kawasaki Kisen Kaisha 9107.T, which sank 2.8%.