Nikkei closes at 7-month high on hopes of slowing US rate hike

Japan’s Nikkei index closed at a seven-month high on Friday, led by SoftBank Group and other technology heavyweights, as signs of slowing inflation in the United States raised hopes of a less sharp interest rate hike by the Federal Reserve and boosted appetite. on the risk.

The Nikkei average jumped 2.62 percent to 28,546.98, its highest closing level since Jan. 12. The index, which recorded the largest daily gain in three weeks, rose 1.32 percent during the week, achieving the second consecutive weekly gain.

The broader Topix index advanced 2.04 percent to 1973.18 points and rose 1.34 percent during the week.

Japanese markets were closed on Thursday for a local holiday.

Data on Wednesday showed that US consumer prices were unchanged in July compared to June, prompting bets that the Federal Reserve may slow the pace of interest rate hikes.

SoftBank Group Inc jumped 5.55 percent, providing the biggest boost to the Nikkei index, after the technology investment group said it would gain $34.1 billion by reducing its stake in Alibaba Group Holdings.

Chip-making equipment company Tokyo Electron advanced 4.53 percent and robotics maker Fanuc rose 5.89 percent.

Honda Motor Co. rose 3.82 percent after the automaker raised its full-year operating profit forecast thanks to a weak yen.

All 33 sub-sector indices on the Tokyo Stock Exchange rose.