Japan's Nikkei 225 Plunged 3%, June's Factory Activities Expanded

Japan's benchmark indexes dropped amid profit-taking in high-flying AI-related stocks. 

The Nikkei 225 Stock Average plunged more than 3%, the broader TOPIX decreased more than 2%, and the yen traded at 161.73 against the U.S. dollar. 

AI and semiconductor stocks plunged as investors booked profit, and the sector mirrored sharp losses in overnight trading in New York. 

In New York, the S&P 500 Index decreased 0.3%, and the tech-heavy Nasdaq Composite declined 1.3% driven by sharp losses in high-flying AI-linked stocks. 

Tech stocks came under pressure, and SpaceX plunged 16% after the company announced a $20 billion bond offering, and Alphabet Inc. dropped 5% after another leading AI researcher announced they would leave for a rival. 

On the domestic economic front, a private survey showed factory activities expanded for the sixth consecutive month in June, driven by a faster growth in output and new orders. 

The S&P Global Japan Manufacturing PMI increased to 54.9 in June from 54.5 in May, according to S&P Global. 

Sales advanced at the fastest pace since January 2022, largely driven by customers building inventories in anticipation of prolonged supply disruptions in the Middle East.

Japan Indexes and Stocks 

The Nikkei 225 Stock Average decreased 3.2% to 70,012.72, and the broader TOPIX declined 2.2% to 4,003.01. 

SoftBank Group plunged 10%, Tokyo Electron decreased 5.1%, Advantest Corp. declined 1.8%, and Lasertec Corp. fell 9.6%. 

Nippon Yusen increased 1.1%, Mitsui OSK Lines edged up 0.7%, and Kawasaki Kisen Kaisha advanced 0.5%. 

Financial services providers traded down amid general market weakness and growing possibilities of another rate hike later in the year. 

Sumitomo Mitsui Financial eased 2%, Mizuho Financial fell 2.8%, and Mitsubishi UFJ Financial decreased 2.7%.

Japan's Nikkei 225 Plunged 3%, June's Factory Activities Expanded

Japan's benchmark indexes dropped amid profit-taking in high-flying AI-related stocks. 

The Nikkei 225 Stock Average plunged more than 3%, the broader TOPIX decreased more than 2%, and the yen traded at 161.73 against the U.S. dollar. 

AI and semiconductor stocks plunged as investors booked profit, and the sector mirrored sharp losses in overnight trading in New York. 

In New York, the S&P 500 Index decreased 0.3%, and the tech-heavy Nasdaq Composite declined 1.3% driven by sharp losses in high-flying AI-linked stocks. 

Tech stocks came under pressure, and SpaceX plunged 16% after the company announced a $20 billion bond offering, and Alphabet Inc. dropped 5% after another leading AI researcher announced they would leave for a rival. 

On the domestic economic front, a private survey showed factory activities expanded for the sixth consecutive month in June, driven by a faster growth in output and new orders. 

The S&P Global Japan Manufacturing PMI increased to 54.9 in June from 54.5 in May, according to S&P Global. 

Sales advanced at the fastest pace since January 2022, largely driven by customers building inventories in anticipation of prolonged supply disruptions in the Middle East.

Japan Indexes and Stocks 

The Nikkei 225 Stock Average decreased 3.2% to 70,012.72, and the broader TOPIX declined 2.2% to 4,003.01. 

SoftBank Group plunged 10%, Tokyo Electron decreased 5.1%, Advantest Corp. declined 1.8%, and Lasertec Corp. fell 9.6%. 

Nippon Yusen increased 1.1%, Mitsui OSK Lines edged up 0.7%, and Kawasaki Kisen Kaisha advanced 0.5%. 

Financial services providers traded down amid general market weakness and growing possibilities of another rate hike later in the year. 

Sumitomo Mitsui Financial eased 2%, Mizuho Financial fell 2.8%, and Mitsubishi UFJ Financial decreased 2.7%.

China's indexes Closed Down In Lackluster Trading, Knowledge Atlas In Focus

Stocks in China mirrored the U.S. market decline in overnight trading in New York, and tech stocks led the decliners in Hong Kong and mainland China. 

The Hang Seng Index decreased 1.1%, and the mainland-focused CSI 300 Index dropped 1.5%. 

In New York, the S&P 500 Index decreased 0.3%, and the tech-heavy Nasdaq Composite declined 1.3% driven by sharp losses in high-flying AI-linked stocks. 

Tech stocks came under pressure, and SpaceX plunged 16% after the company announced a $20 billion bond offering, and Alphabet Inc. dropped 5% after another leading AI researcher announced they would leave for a rival. 

In domestic trading, market sentiment remained cautious as investors reviewed the progress of U.S.-Iran peace talks, which could pave the way for the resumption of commercial shipments through the Strait of Hormuz. 

China Indexes and Stocks 

The Hang Seng Index decreased 1.1% to 23,499.88, and the mainland-focused CSI 300 Index fell 1.5% to 4,982.18. 

Hygon Information Technology, Eoptolink, Victory Giant, and SMIC dropped between 0.6% and 2%. 

Knowledge Atlas Technology skyrocketed as much as 42% in Monday's trading but gave up 11% on Tuesday and eased to HK $2,136.0.

The operator of Zhipu AI shot up on Monday after the company announced the release of a new GLM-5.2 model. 

Moreover, the company removed discounts, lifting the revenue outlook substantially. 

The company listed its stock on the Hong Kong Stock Exchange at HK$115 a share and raised approximately HK$4.4 billion on December 30, 2025. 

China's indexes Closed Down In Lackluster Trading, Knowledge Atlas In Focus

Stocks in China mirrored the U.S. market decline in overnight trading in New York, and tech stocks led the decliners in Hong Kong and mainland China. 

The Hang Seng Index decreased 1.1%, and the mainland-focused CSI 300 Index dropped 1.5%. 

In New York, the S&P 500 Index decreased 0.3%, and the tech-heavy Nasdaq Composite declined 1.3% driven by sharp losses in high-flying AI-linked stocks. 

Tech stocks came under pressure, and SpaceX plunged 16% after the company announced a $20 billion bond offering, and Alphabet Inc. dropped 5% after another leading AI researcher announced they would leave for a rival. 

In domestic trading, market sentiment remained cautious as investors reviewed the progress of U.S.-Iran peace talks, which could pave the way for the resumption of commercial shipments through the Strait of Hormuz. 

China Indexes and Stocks 

The Hang Seng Index decreased 1.1% to 23,499.88, and the mainland-focused CSI 300 Index fell 1.5% to 4,982.18. 

Hygon Information Technology, Eoptolink, Victory Giant, and SMIC dropped between 0.6% and 2%. 

Knowledge Atlas Technology skyrocketed as much as 42% in Monday's trading but gave up 11% on Tuesday and eased to HK $2,136.0.

The operator of Zhipu AI shot up on Monday after the company announced the release of a new GLM-5.2 model. 

Moreover, the company removed discounts, lifting the revenue outlook substantially. 

The company listed its stock on the Hong Kong Stock Exchange at HK$115 a share and raised approximately HK$4.4 billion on December 30, 2025. 

U.S. Stocks Traded Higher as U.S.-Iran Negotiators Search for Elusive Durable Peace Agreement

Stocks on Wall Street traded higher, and investors returned from a three-day holiday. 

The U.S. stock exchanges were closed on Friday for the Juneteenth holiday. 

The S&P 500 Index increased 0.5%, and the tech-dominated Nasdaq Composite advanced 0.6% as investors overlooked lingering uncertainty in the Middle East. 

Tensions escalated in the Gulf region while negotiators from the U.S. and Iran talked in Switzerland in search of a durable peace agreement. 

Crude oil erased early gains and turned sharply lower after Qatar and Pakistan said that the U.S. and Iranian negotiators had agreed on a roadmap with a goal of reaching a final agreement over the next 60 days.

The U.S. West Texas Intermediate crude oil price decreased 2.6% to $75.36 a barrel, and the international Brent crude oil price declined 1.6% to $79.31 a barrel.

For now, crude oil traffic through the Strait of Hormuz remains sharply curtailed as the U.S. and Iran assert control over the narrow passageway used by Gulf nations to deliver more than 15 million barrels of crude oil to international markets. 

The Strait of Hormuz has effectively remained paralyzed since February 28, or 115 days, as the region is deemed a high-risk zone for maritime shipping as insurance companies stopped providing coverage.

Benchmark indexes in London, UK, traded around the flatline after the prime minister, Keir Starmer, announced his resignation following steep losses in local elections and a decisive by-election victory by rival Andy Burnham. 

The pound weakened to $1.32 against the U.S. dollar, and the yield on 10-year bonds eased to 4.82%, reflecting that Starmer's decision was already priced in after Burnham's win on Friday. 

The U.K. is heading for its seventh prime minister in ten years as political turmoil grips the nation, which is struggling to regain its economic momentum amid high energy prices, a cost of living crisis, and record high debt.

On the economic front, investors are awaiting the release of May's personal consumption expenditures price index on Thursday, the Fed's preferred inflation measure, which generally understates price pressures in the economy. 

The core rate of inflation is likely to advance from April, as goods and fuel inflation spills over to the services segment of the economy.

U.S. Movers 

SpaceX decreased 4.4% to $176.38, and the stock extended its losses for the third session after surging as much as 50% from its initial public offering price of $135 on June 12. 

Exxon Mobil Corp. increased 1% to $138.84, Chevron Corp. advanced 1% to $175.54, and ConocoPhillips jumped 2% to $109.93. 

U.S. Stocks Traded Higher as U.S.-Iran Negotiators Search for Elusive Durable Peace Agreement

Stocks on Wall Street traded higher, and investors returned from a three-day holiday. 

The U.S. stock exchanges were closed on Friday for the Juneteenth holiday. 

The S&P 500 Index increased 0.5%, and the tech-dominated Nasdaq Composite advanced 0.6% as investors overlooked lingering uncertainty in the Middle East. 

Tensions escalated in the Gulf region while negotiators from the U.S. and Iran talked in Switzerland in search of a durable peace agreement. 

Crude oil erased early gains and turned sharply lower after Qatar and Pakistan said that the U.S. and Iranian negotiators had agreed on a roadmap with a goal of reaching a final agreement over the next 60 days.

The U.S. West Texas Intermediate crude oil price decreased 2.6% to $75.36 a barrel, and the international Brent crude oil price declined 1.6% to $79.31 a barrel.

For now, crude oil traffic through the Strait of Hormuz remains sharply curtailed as the U.S. and Iran assert control over the narrow passageway used by Gulf nations to deliver more than 15 million barrels of crude oil to international markets. 

The Strait of Hormuz has effectively remained paralyzed since February 28, or 115 days, as the region is deemed a high-risk zone for maritime shipping as insurance companies stopped providing coverage.

Benchmark indexes in London, UK, traded around the flatline after the prime minister, Keir Starmer, announced his resignation following steep losses in local elections and a decisive by-election victory by rival Andy Burnham. 

The pound weakened to $1.32 against the U.S. dollar, and the yield on 10-year bonds eased to 4.82%, reflecting that Starmer's decision was already priced in after Burnham's win on Friday. 

The U.K. is heading for its seventh prime minister in ten years as political turmoil grips the nation, which is struggling to regain its economic momentum amid high energy prices, a cost of living crisis, and record high debt.

On the economic front, investors are awaiting the release of May's personal consumption expenditures price index on Thursday, the Fed's preferred inflation measure, which generally understates price pressures in the economy. 

The core rate of inflation is likely to advance from April, as goods and fuel inflation spills over to the services segment of the economy.

U.S. Movers 

SpaceX decreased 4.4% to $176.38, and the stock extended its losses for the third session after surging as much as 50% from its initial public offering price of $135 on June 12. 

Exxon Mobil Corp. increased 1% to $138.84, Chevron Corp. advanced 1% to $175.54, and ConocoPhillips jumped 2% to $109.93. 

Japan's Indexes Closed at New Record Highs, Yen Sank Closer to a Four-Decade Low

Japan's benchmark indexes scaled new record highs in Monday's trading, driven by the continued rise in AI-linked stocks. 

The Nikkei 225 Stock Average jumped as much as 2%, and the broader TOPIX increased 1.3%, and the yen approached a four-decade low and traded at 161.55 against the U.S. dollar. 

AI- and semiconductor-linked stocks led the charge as domestic companies are viewed as key beneficiaries of the global artificial intelligence infrastructure boom. 

Domestic stocks advanced despite volatile crude oil prices after tensions in the Middle East rose during the first day of talks between the U.S. and Iran.

The yen continued its downward slide despite verbal intervention by the Japanese authorities. Finance Minister Satsuki Katayama reiterated the earlier warning and said that the ministry is ready to take appropriate actions against excessive currency moves at any time. 

Investors are anticipating the release of the Bank of Japan's Summary of Opinions from its June meeting and business surveys for insights into economic conditions. 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average increased 1.7% to 72,476.05, and the TOPIX added 1.3% to 4,096.11. 

Furukawa Electric jumped 8.8%, Murata Manufacturing gained 4.9%, Ibiden Co. soared 9.8%, and SoftBank Group added 2.2%. 

Nippon Yusen added 0.7%, Mitsui OSK Lines increased 0.9%, and Kawasaki Kisen Kaisha inched up 1.8%.

Japan's Indexes Closed at New Record Highs, Yen Sank Closer to a Four-Decade Low

Japan's benchmark indexes scaled new record highs in Monday's trading, driven by the continued rise in AI-linked stocks. 

The Nikkei 225 Stock Average jumped as much as 2%, and the broader TOPIX increased 1.3%, and the yen approached a four-decade low and traded at 161.55 against the U.S. dollar. 

AI- and semiconductor-linked stocks led the charge as domestic companies are viewed as key beneficiaries of the global artificial intelligence infrastructure boom. 

Domestic stocks advanced despite volatile crude oil prices after tensions in the Middle East rose during the first day of talks between the U.S. and Iran.

The yen continued its downward slide despite verbal intervention by the Japanese authorities. Finance Minister Satsuki Katayama reiterated the earlier warning and said that the ministry is ready to take appropriate actions against excessive currency moves at any time. 

Investors are anticipating the release of the Bank of Japan's Summary of Opinions from its June meeting and business surveys for insights into economic conditions. 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average increased 1.7% to 72,476.05, and the TOPIX added 1.3% to 4,096.11. 

Furukawa Electric jumped 8.8%, Murata Manufacturing gained 4.9%, Ibiden Co. soared 9.8%, and SoftBank Group added 2.2%. 

Nippon Yusen added 0.7%, Mitsui OSK Lines increased 0.9%, and Kawasaki Kisen Kaisha inched up 1.8%.

PBoC Held Prime Rates Amid Clouded Economic Growth Outlook

Stocks in China diverged, and investors returned from a three-day weekend and reviewed the latest rate decisions. 

The Hang Seng Index decreased 1%, and the mainland-focused CSI 300 Index increased 0.7% amid lingering uncertainty in the Middle East and mixed domestic economic data. 

The People's Bank of China held its loan prime rates steady for the thirteenth month in a row following mixed economic data released last week.

Policymakers left the one-year rate at 3.0% and the five-year rate at 3.5% as retail spending growth, urban jobless rate, and residential property market investment data confirmed the weakening economic growth outlook. 

Across Asia, benchmark indexes advanced, and AI- and semiconductor-linked stocks led gainers in Tokyo, Seoul, and Taipei. 

Financial markets in New York are likely to trade volatile as investors return from a three-day holiday on Monday, and ongoing uncertainty in the Middle East is likely to keep gains in check. 

Brent crude oil prices fell 1.6% to $79.26 a barrel, and conflicting messages from the U.S. and Iran kept oil traders on edge. Israel and Lebanon-based Hezbollah exchanged fire, upending the peace talks in Switzerland.

China Indexes and Stocks 

The Hang Seng Index dropped 1% to 23,691.01, and the mainland-focused CSI 300 Index increased 0.7% to 4,976.15. 

Financial services providers extended the previous week's losses after the central bank held rates steady. 

The Industrial and Commercial Bank of China decreased 0.4%, Agricultural Bank of China gained 0.2%, and China Construction Bank fell 0.5% in Hong Kong trading. 

Alibaba Group decreased 2.6%, Tencent Holdings declined 1.5%, and Meituan fell 1.4%.

PBoC Held Prime Rates Amid Clouded Economic Growth Outlook

Stocks in China diverged, and investors returned from a three-day weekend and reviewed the latest rate decisions. 

The Hang Seng Index decreased 1%, and the mainland-focused CSI 300 Index increased 0.7% amid lingering uncertainty in the Middle East and mixed domestic economic data. 

The People's Bank of China held its loan prime rates steady for the thirteenth month in a row following mixed economic data released last week.

Policymakers left the one-year rate at 3.0% and the five-year rate at 3.5% as retail spending growth, urban jobless rate, and residential property market investment data confirmed the weakening economic growth outlook. 

Across Asia, benchmark indexes advanced, and AI- and semiconductor-linked stocks led gainers in Tokyo, Seoul, and Taipei. 

Financial markets in New York are likely to trade volatile as investors return from a three-day holiday on Monday, and ongoing uncertainty in the Middle East is likely to keep gains in check. 

Brent crude oil prices fell 1.6% to $79.26 a barrel, and conflicting messages from the U.S. and Iran kept oil traders on edge. Israel and Lebanon-based Hezbollah exchanged fire, upending the peace talks in Switzerland.

China Indexes and Stocks 

The Hang Seng Index dropped 1% to 23,691.01, and the mainland-focused CSI 300 Index increased 0.7% to 4,976.15. 

Financial services providers extended the previous week's losses after the central bank held rates steady. 

The Industrial and Commercial Bank of China decreased 0.4%, Agricultural Bank of China gained 0.2%, and China Construction Bank fell 0.5% in Hong Kong trading. 

Alibaba Group decreased 2.6%, Tencent Holdings declined 1.5%, and Meituan fell 1.4%.

Fuel Subsidies Keep Japan's Inflation In Check In May

Stocks in Japan closed lower on Friday's trading, and investors reviewed the latest inflation update. 

The Nikkei 225 Stock Average decreased 0.4%, the broader TOPIX declined 1.0%, and the Japanese yen weakened to a new two-year low of 161.37 against the U.S. dollar. 

Japan's overall inflation edged up in May but stayed well below the central bank's target rate of 2% for the fourth consecutive month. 

Overall inflation accelerated to 1.5% from 1.4% in April, and the core rate, which excludes volatile food prices, held steady at 1.4%, according to the latest update from the Ministry of Internal Affairs & Communications. 

The government subsidies for energy products capped the upside for core inflation. 

Core-core inflation, which excludes food and energy prices, edged up 1.8% in May. 

Food prices, excluding fresh items, increased 3.5%, slower than a 4.1% rise in the previous month, and inflation slowed for the 10th consecutive month. 

Rice prices declined 4.9% and turned lower for the first time since November 2022 but stayed elevated, largely because of increasing inventory.

Earlier in the week, the Bank of Japan lifted its short-term rate to a 31-year high of 1.0%, and the consumer price data is among the key data points in deciding the rate actions to achieve its long-term inflation target of 2%. 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average decreased 0.4% to 70,768.60, and the broader TOPIX declined 1% to 4,029.19. 

The global rally in semiconductor and AI-related stocks powered the local stocks higher, and financial, industrial, and consumer stocks traded down. 

Nippon Yusen decreased 2.1%, Kawasaki Kishen Kaisa declined 1.5%, and Mitsui O.S.K. Lines fell 1.6%. 

Sumitomo Mitsui Financial decreased 3.3%, Mitsubishi UFJ Financial dropped 2.9%, and Mizuho Financial fell 4%. 

Fuel Subsidies Keep Japan's Inflation In Check In May

Stocks in Japan closed lower on Friday's trading, and investors reviewed the latest inflation update. 

The Nikkei 225 Stock Average decreased 0.4%, the broader TOPIX declined 1.0%, and the Japanese yen weakened to a new two-year low of 161.37 against the U.S. dollar. 

Japan's overall inflation edged up in May but stayed well below the central bank's target rate of 2% for the fourth consecutive month. 

Overall inflation accelerated to 1.5% from 1.4% in April, and the core rate, which excludes volatile food prices, held steady at 1.4%, according to the latest update from the Ministry of Internal Affairs & Communications. 

The government subsidies for energy products capped the upside for core inflation. 

Core-core inflation, which excludes food and energy prices, edged up 1.8% in May. 

Food prices, excluding fresh items, increased 3.5%, slower than a 4.1% rise in the previous month, and inflation slowed for the 10th consecutive month. 

Rice prices declined 4.9% and turned lower for the first time since November 2022 but stayed elevated, largely because of increasing inventory.

Earlier in the week, the Bank of Japan lifted its short-term rate to a 31-year high of 1.0%, and the consumer price data is among the key data points in deciding the rate actions to achieve its long-term inflation target of 2%. 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average decreased 0.4% to 70,768.60, and the broader TOPIX declined 1% to 4,029.19. 

The global rally in semiconductor and AI-related stocks powered the local stocks higher, and financial, industrial, and consumer stocks traded down. 

Nippon Yusen decreased 2.1%, Kawasaki Kishen Kaisa declined 1.5%, and Mitsui O.S.K. Lines fell 1.6%. 

Sumitomo Mitsui Financial decreased 3.3%, Mitsubishi UFJ Financial dropped 2.9%, and Mizuho Financial fell 4%. 

U.S. Indexes Rebounded as Investors Shake Off Rate-Hike Jitters

Stocks on Wall Street advanced following the Fed's rate decisions and optimism over the reopening of the Strait of Hormuz. 

The S&P 500 index increased 0.8%, the tech-focused Nasdaq Composite advanced 1.3%, and the yield on 10-year U.S. Treasury notes held at 4.46%. 

Benchmark indexes dropped between 1% and 2% in Wednesday's trading after the Federal Reserve held its federal funds rate range steady between 3.5% and 3.75%. 

However, policymakers held out for a possible rate hike later in the year amid gathering inflationary forces and energy-linked inflation spilling over to the broader economy. 

The rate-setting committee of 18 members clearly favored higher rates later in the year amid worries of higher inflation anchoring in the economy. 

Nine members support higher interest rates by the end of this year, and six participants favor two or more quarter-point increases. Eight members preferred to keep rates on hold and supported a cut. 

The newly appointed Fed Chair, Kevin Warsh, reiterated the central bank's commitment to bring down inflation to 2%, and overall inflation has stayed well above 2% over the last six years. 

Financial markets acted swiftly after the Fed announced its rate decisions and outlook and comments from the Fed chair, and stocks fell and bond yields rose. 

U.S. Movers 

Accenture plc dropped 11.5% to $140.30 after the information technology service company reported results for the fiscal third quarter ending in May. 

Revenue increased 6% to $18.7 billion from $17.7 billion, net income edged up $2.4 billion from $2.2 billion, and diluted earnings per share advanced to $3.80 from $3.49 a year ago. 

Fiscal fourth-quarter revenue is to range between $17.75 billion and $18.4 billion, and it tightened its full-year revenue growth estimate to between 3% and 4% from the previous range between 3% and 5%. 

The company reiterated its free cash flow estimate between $10.8 billion and $11.5 billion and tightened the diluted earnings per share range between $13.38 and $13.50 from the previous estimate between $13.25 and $13.50.

U.S. Indexes Rebounded as Investors Shake Off Rate-Hike Jitters

Stocks on Wall Street advanced following the Fed's rate decisions and optimism over the reopening of the Strait of Hormuz. 

The S&P 500 index increased 0.8%, the tech-focused Nasdaq Composite advanced 1.3%, and the yield on 10-year U.S. Treasury notes held at 4.46%. 

Benchmark indexes dropped between 1% and 2% in Wednesday's trading after the Federal Reserve held its federal funds rate range steady between 3.5% and 3.75%. 

However, policymakers held out for a possible rate hike later in the year amid gathering inflationary forces and energy-linked inflation spilling over to the broader economy. 

The rate-setting committee of 18 members clearly favored higher rates later in the year amid worries of higher inflation anchoring in the economy. 

Nine members support higher interest rates by the end of this year, and six participants favor two or more quarter-point increases. Eight members preferred to keep rates on hold and supported a cut. 

The newly appointed Fed Chair, Kevin Warsh, reiterated the central bank's commitment to bring down inflation to 2%, and overall inflation has stayed well above 2% over the last six years. 

Financial markets acted swiftly after the Fed announced its rate decisions and outlook and comments from the Fed chair, and stocks fell and bond yields rose. 

U.S. Movers 

Accenture plc dropped 11.5% to $140.30 after the information technology service company reported results for the fiscal third quarter ending in May. 

Revenue increased 6% to $18.7 billion from $17.7 billion, net income edged up $2.4 billion from $2.2 billion, and diluted earnings per share advanced to $3.80 from $3.49 a year ago. 

Fiscal fourth-quarter revenue is to range between $17.75 billion and $18.4 billion, and it tightened its full-year revenue growth estimate to between 3% and 4% from the previous range between 3% and 5%. 

The company reiterated its free cash flow estimate between $10.8 billion and $11.5 billion and tightened the diluted earnings per share range between $13.38 and $13.50 from the previous estimate between $13.25 and $13.50.

Japan's Indexes Soared 2% and Four-Decade Low Yen-Level Triggers Intervention Risk

Japan's indexes soared on Thursday amid optimism over the U.S.-Iran peace agreement and the reopening of the Strait of Hormuz. 

The Nikkei 225 Stock Average soared nearly 2%, and the broader TOPIX increased 1.4% as investors welcomed the possible ending of hostilities in the Middle East. 

The deal framework is likely to pave the way for a possible longer-term agreement, which could normalize traffic through the Strait of Hormuz and ease tensions in the Middle East. 

The easing of geopolitical tensions removed significant macroeconomic hurdles for Japan's economy, which depends heavily on imports of energy products. 

Brent crude oil prices dropped 2.2% to $77.85 a barrel, and the Japanese yen weakened to 160.35 against the U.S. dollar. 

The yield on 10-year Japanese bonds held around 2.64% as investors reviewed the latest U.S. Fed rate decisions. 

The Federal Open Market Committee left its federal funds rate range unrevised between 3.5% and 3.75%, but the newly appointed Fed Chair Warsh confirmed that support for a rate hike later in the year is rising.

Earlier in the week, the Bank of Japan raised its short-term rates by 25 basis points to 1.0%, the highest since 1995 amid rising inflationary pressures linked to the U.S.-Iran war.

The central bank moved to shore up the faltering yen, and the embattled currency is trading near four-decade lows. 

Japan Indexes and Stocks 

The Nikkei 225 Stock Average rose 1.9% to 71,204.14, and the broader TOPIX advanced 1.4% to 4,070.02. 

Financial services providers and AI-linked stocks led gainers in Tokyo trading on Thursday. 

Sumitomo Mitsui Financial increased 4%, Mitsubishi UFJ Financial advanced 3%, and Mizuho Financial gained 3.2%. 

Tokyo Electron, Advantest Corp., Kioxia Holdings, and Lasertec Corp. advanced between 3% and 6%.