Stock Market: Biggest boom in 16 years - Japan's market broke all records:

News Topical, Digital Desk : Stock Market News Today : Japan's stock market witnessed a huge surge on Tuesday, when the US and China announced a deal to reduce tariffs for 90 days. After this decision, the Topix index has risen for the 13th consecutive day. Now the market is witnessing the longest surge since 2009. This clearly means that the 16-year-old record has been broken.

US stocks were also up on Monday, with the S&P 500 gaining 3%. The yen weakened 2% against the dollar, benefiting Japanese exporters.

Impact of the US-China trade deal: The US reduced tariffs from 145% to 30% (for 90 days). China reduced tariffs from 125% to 10%. The impact of this came after Japan's markets closed on Monday, but investors bought enthusiastically on Tuesday. What happened in the market?

Index	highest level	Gain (%)
Topix	2,794.96	+1.9%
Nikkei 225	38,494.06	+2.3%

Which stocks shone?

Company	Area	Role
Toyota Motor Corp.	Automobile	Big profits from exports
Nintendo Co.	Gaming	Benefit from the strong dollar
Yaskawa Electric, Fanuc	Companies with revenue in China	Relief from trade deal

Naoki Fujiwara (Shinkin Asset Management): says that the risk-off mood is now ending. This wave of buying may continue further.

Kelvin Leung (Robeco Hong Kong) says that after the US-China deal, the possibility of a Japan-US trade deal has increased, but too high expectations may bring risks.

Preparation for Japan-US trade deal

Japanese Prime Minister Shigeru Ishiba wants to finalise a trade agreement with the US in July. Japan was among the first countries to begin formal negotiations with the US.

The US-China trade deal has given new momentum to Japan's stock market and investors' confidence has returned. Topix and Nikkei are moving towards record highs. But some experts also consider too much optimism a warning. Now all eyes will be on the Japan-US deal and global data.