Shares of Japanese conglomerate Hitachi Ltd. surged more than 10% on Friday after the company announced a strategic partnership with OpenAI to develop artificial intelligence infrastructure and global data centers. The deal marks one of the most significant alliances yet between a Japanese industrial heavyweight and a U.S. AI leader, signaling Tokyo’s ambition to position itself as a major player in next-generation digital infrastructure.
The rally in Hitachi shares helped lift broader sentiment across Japan’s equity markets, with the Nikkei 225 climbing 1.85% to close at 45,769.50, while the Topix index gained 1.35% to end at 3,129.17.
Japan’s Economic Data Paints Mixed Picture
Despite the stock market rally, fresh data from Japan’s government showed the unemployment rate rose to 2.6% in August, up from 2.3% in July and higher than the 2.4% forecast by economists surveyed by Reuters.
Meanwhile, the S&P Global Japan services PMI edged up to 53.3 in September from 53.1 in August, supported by strong domestic demand. However, the report also highlighted continued weakness in manufacturing, with output falling amid lackluster export orders.
“While services companies recorded another month of solid growth, manufacturers reported a steeper decline in output amid weak sales. As a result, the private sector as a whole expanded at the slowest rate since May,” said Annabel Fiddes, economics associate director at S&P Global Market Intelligence.
Regional Markets React
Elsewhere in Asia, trading was mixed:
Australia’s S&P/ASX 200 rose 0.46% to 8,987.40.
Hong Kong’s Hang Seng Index fell 0.54% to 27,140.92, with the Hang Seng Tech Index down 0.90% to 6,622.85.
India’s Nifty 50 climbed 0.23% to 24,894.25, while the BSE Sensex traded flat.
South Korea’s KOSPI surged 2.70% to 3,549.21.
China’s Shanghai Composite added 0.52% to 3,882.77.
Mainland Chinese and Korean markets were partially closed for holidays earlier in the week.
U.S. Markets Hold Steady Despite Shutdown
In the U.S., equity futures were little changed during Asian hours after the S&P 500, Dow Jones Industrial Average, and Nasdaq Composite each closed at record highs on Thursday.
Chipmakers powered much of the Nasdaq’s strength, with Nvidia climbing 0.9% to a record high, while Intel and AMD rose more than 3% each.
Investors, however, remain focused on the ongoing U.S. government shutdown, now in its third day. The Labor Department has paused all activity, including the release of the September nonfarm payrolls report, leaving the Federal Reserve with less data ahead of its October policy meeting.
Historically, shutdowns have had limited market impact, but prolonged disruption could test investor optimism.
Outlook
The Hitachi–OpenAI deal underscores how global demand for AI infrastructure is reshaping corporate strategy and equity markets alike. While Japan’s labor market signals some fragility, investor enthusiasm for AI-driven growth provided a strong lift to Tokyo stocks, aligning with broader global optimism around technology.
