Japanese Shares Rise as Fed Holds Rates

The Nikkei 225 Index gained 1% to above 62,000 on Thursday, ending a two-session losing streak as investors responded to the US Federal Reserve’s decision to leave interest rates unchanged. Fed Chair Kevin Warsh emphasized that the pause should not be interpreted as policy inertia, while three FOMC members voted in favor of a rate hike amid ongoing inflation concerns. Meanwhile, markets continued to contend with a sharp selloff in semiconductor stocks after another overnight decline among US chipmakers. Despite the weakness overseas, Japanese semiconductor shares rebounded strongly, led by gains in Kioxia Holdings (2.7%), Advantest (15.7%), Tokyo Electron (4.9%), Murata Manufacturing (4.4%), and Taiyo Yuden (3.6%). In corporate developments, SoftBank Group subsidiary Arm Holdings slid nearly 6% in after-hours trading after issuing a sales forecast that disappointed investors.





