Nikkei Average Closes Above 50,000 for Year-End, Prime Minister Takashi Visits Market and Shares Optimism

Nikkei Average Year-End Closing Price

On December 30, 2025, the Tokyo stock market wrapped up its year with the Nikkei 225 closing at 53,394.8 yen, down 187.44 yen from the previous day. This marks the first time the index has closed above 50,000 at year’s end, reflecting a gain of over 10,000 points compared to the end of 2024. [1][3]

In the morning, futures-driven trading caused a drop of over 300 points, but the market stabilized later in the day. Due to volatile currency movements, the closing price softened again toward the end of trading. [1]

The TOPIX index finished at 3,408.97, down 17.55 points from the previous day. On the Tokyo Stock Exchange Prime Market, 356 stocks gained while 1,194 declined. [1]

Prime Minister Takashi’s Market Visit and Comments

During the year-end closing session, Prime Minister Takashi and Japan’s national soccer team coach, Hajime Moriyasu, attended. The Prime Minister expressed confidence, saying, "We’ll keep pushing forward for Japan, running and fighting until the very end to secure victory." [2][3]

The government’s proactive fiscal policies and optimism about growth in AI-related stocks have supported the market rally. However, some analysts remain cautious, emphasizing the need to see if a sustainable cycle of rising prices and wages can develop. [2]

2025 Stock Market Highlights

After a sharp drop near 30,000 points early in the year following former President Trump’s announcement of reciprocal tariffs, the market rebounded thanks to easing U.S.-China tensions and positive expectations for Takashi’s policies. In October, the Nikkei briefly hit over 52,000 for the first time. [3]

The latter half of the year saw expectations for AI growth driving stocks higher, making 2025 a record-breaking year for the Japanese stock market. Only four sectors—mining, precision machinery, shipping, and electric utilities—outperformed the broader market. [1]

Outlook for 2026

• Some analysts are bullish, predicting the Nikkei could surpass 60,000
• Others warn about potential market overheating
• Focus remains on assessing whether the economy can sustain steady growth

Trading volume on the Tokyo Stock Exchange Prime Market reached 1.568 billion shares, with a total trading value of approximately 3.74 trillion yen. The highest point was 50,534.64 yen, and the lowest was 50,198.97 yen. [1]