The Nikkei 225 advanced 477 points, or nearly 1%, to 50,892 in Friday’s morning session, rebounding from three subdued days and heading for a second straight weekly gain. The benchmark hit a two-week peak, boosted by broad sectoral strength. Meanwhile, the broader Topix Index added 0.4% for a second session. Sentiment improved after Wall Street’s record close on Wednesday, with most global markets shut Thursday for Christmas break. Domestically, Tokyo’s cabinet approved a draft fiscal 2026 budget with record general-account spending of about JPY 122 trillion, the first under the Takaichi administration, set for Diet submission in January. Further gains were tempered by fresh data showing industrial output fell more than expected in November, while retail sales growth slowed despite beating forecasts, and the jobless rate remained at its highest reading since July 2024. Early movers included Fast Retailing (2.2%), SoftBank Group (2.1%), Advantest (1.6%), and Mitsubishi Electric (1.1%).
