Japan’s Nikkei surges as oil prices slide on signs of Mideast ceasefire

TOKYO: 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 jumped 4.67% to 55,923.27, while the broader Topix 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, up 12.4%, followed by Advantest Corp, gaining 9.3% and Resonac Holdings, which added 9.3%. The largest losers were Inpex, down 7.4%, followed by Mitsui O.S.K. Lines, 4.1% lower, and Kawasaki Kisen Kaisha, which sank 2.8%.

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