Stock Markets February 27, 2026

Tokyo Shares Close Higher; Nikkei 225 Reaches New Record

Real estate, banking and textile stocks propel benchmark to fresh highs amid mixed commodity and currency moves

By Hana Yamamoto
Tokyo Shares Close Higher; Nikkei 225 Reaches New Record

Tokyo equities closed higher on Friday with the Nikkei 225 advancing 0.36% to a fresh all-time high. Gains were concentrated in Real Estate, Banking and Textile sectors, while a handful of tech-related names weighed on the index. Commodity benchmarks and currency pairs showed modest movement during the session.

Key Points

  • Nikkei 225 up 0.36% to a record close, driven by Real Estate, Banking and Textile stocks.
  • Several miners and engineering firms posted double-digit percentage gains, while semiconductor and equipment firms showed notable declines.
  • Nikkei options volatility rose sharply and commodity and FX markets moved modestly, which could influence sector cost structures.

Tokyo's stock market finished the trading day higher on Friday, with sector strength in Real Estate, Banking and Textile names helping lift the benchmark. The Nikkei 225 added 0.36% to close at a new all-time high.

Among individual movers, Sumitomo Metal Mining Co., Ltd. (TYO:5713) led gains on the Nikkei 225, climbing 11.28% - a rise of 1,280.00 points - to finish at 12,625.00. DOWA Holdings Co., Ltd. (TYO:5714) advanced 10.63%, up 1,110.00 points to close at 11,550.00, and JGC Corp. (TYO:1963) gained 8.02%, an increase of 184.00 points to 2,477.00 in late trade.

On the downside, several technology-related names recorded notable declines. Advantest Corp. (TYO:6857) dropped 4.53%, down 1,275.00 points to 26,850.00 at the close. Disco Corp (TYO:6146) fell 4.51%, a loss of 3,570.00 points to end at 75,500.00, while Dainippon Screen Mfg. Co., Ltd. (TYO:7735) slipped 3.23%, or 765.00 points, to 22,925.00.

Market breadth was positive: advancing issues outnumbered decliners on the Tokyo Stock Exchange by 3,064 to 600, with 167 stocks finishing unchanged.

Notable price milestones were recorded during the session. Shares of Sumitomo Metal Mining Co., Ltd. (TYO:5713) and DOWA Holdings Co., Ltd. (TYO:5714) rose to all-time highs, each posting double-digit percentage gains. JGC Corp. (TYO:1963) reached a five-year high following its advance.

Volatility on the Nikkei options market moved higher as well, with the Nikkei Volatility index rising 16.07% to 31.21.

Commodity prices posted modest gains: crude oil for April delivery rose 0.83% or 0.54 to $65.75 a barrel, while Brent oil for May delivery increased 0.66% or 0.47 to $71.31 a barrel. The April Gold Futures contract edged up 0.16% or 8.30 to trade at 5,202.50 a troy ounce.

Currency markets recorded small shifts during the session. USD/JPY moved down 0.12% to 155.95, and EUR/JPY was slightly lower by 0.04% at 184.06. The US Dollar Index Futures slipped 0.04% to 97.70.


Summary

Tokyo stocks closed higher, driven by gains in Real Estate, Banking and Textile sectors, and the Nikkei 225 reached a record close. Mining and engineering-related shares led advances while several semiconductor and equipment manufacturers retreated. Commodities and FX recorded modest moves.

  • Key Points:
    • The Nikkei 225 rose 0.36% to a new all-time high.
    • Top gainers included Sumitomo Metal Mining (TYO:5713) and DOWA Holdings (TYO:5714), both reaching all-time highs; JGC Corp. (TYO:1963) hit a five-year high.
    • Major decliners were Advantest (TYO:6857), Disco (TYO:6146) and Dainippon Screen (TYO:7735), reflecting weakness in selected tech equipment names.
  • Risks / Uncertainties:
    • Elevated implied volatility - Nikkei Volatility rose 16.07% to 31.21 - could signal increased option market uncertainty affecting equity positioning, relevant to index-tracking sectors.
    • Mixed moves in commodities and currencies - modest changes in oil, gold and FX rates may create input-cost or currency-translation pressures for exporters and commodity-linked sectors.

Risks

  • Higher implied volatility on Nikkei options (up 16.07% to 31.21) introduces market uncertainty for equity positions, impacting index-tracking funds and derivatives strategies.
  • Movements in crude oil, Brent and gold, alongside currency fluctuations (USD/JPY and EUR/JPY), may affect input costs and foreign-currency earnings for exporters and commodity-linked companies.

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