TOKYO: Japan’s Nikkei share gauge edged lower on the final trading day of 2025, dragged down by the technology sector that has been a key driver of the year’s massive gains.
The benchmark Nikkei 225 Index slid 0.4 percent to close at 50,339.48 on Tuesday, while the broader Topix lost 0.5 percent. The Nikkei surged 26 percent in 2025, a third consecutive yearly gain and the most since 2023. The Topix climbed 22 percent.
Japanese equities have been on a roll, benefitting from a corporate governance push by the Tokyo Stock Exchange and more lately from euphoria over artificial intelligence investment.
The Nikkei got another leg up, touching an intraday record high of 52,636.87 on November 4, after Sanae Takaichi was elected prime minister on a campaign of huge fiscal stimulus.
“The first half of the year was weighed down by global economic instability, including rising prices, labour shortages, and US tariffs,” Takaichi said at a ceremony at the exchange after the closing bell.
“But in the latter half, the resilience of Japanese companies, together with policy support, propelled the Nikkei to a remarkable turnaround, rising past the 50,000 mark for the first time in history.”