Japanese Shares Trim Losses as Trade Deal Hopes Emerge

The Nikkei 225 fell 0.56% to close at 39,762, while the broader Topix Index slipped 0.21% to 2,826 on Wednesday, paring earlier losses after Japanese authorities signaled continued efforts to secure a “win-win” trade agreement with Washington, though they offered no details on potential concessions. US President Donald Trump escalated pressure on Tokyo, calling negotiations “really hard” and threatening to raise tariffs on Japanese imports to as much as 35%, citing frustration over Japan’s limited purchases of American rice and automobiles. His remarks deepened investor unease, especially after Federal Reserve Chair Jerome Powell stated that the central bank would have already cut interest rates if not for the inflationary impact of Trump’s tariffs. Major decliners included Disco (-3.7%), Fujikura (-4.0%), Advantest (-3.2%), Mitsubishi Heavy Industries (-3.6%), and IHI Corp (-4.6%).