Asia markets today: Japan stocks climb as bonds steady, but Nidec crash and China slump split the tape

Asia markets delivered an uneven performance Thursday, with Japan stocks extending gains as bond market nerves cooled, even as China shares sold off and Nidec suffered a record one-day collapse. The Nikkei 225 rose about 1.5%, mirroring an improvement in global risk tone after calmer long-end yields and a well-bid auction of super-long JGBs. The Topix also advanced, suggesting breadth beyond the headline index as investors rotated toward quality cyclicals and cash-generative names that benefit from softer discount rates.
The outsize story was Nidec. The electric-motor giant plunged more than 20% after disclosing an internal probe into suspected improper accounting at a Chinese subsidiary and the possible involvement of management across group entities. The company said a third-party committee will investigate, but the immediate market verdict was swift: a historic single-day drop that erased billions in equity value and reignited questions about corporate governance across parts of Japan Inc. The shock rippled into suppliers and thematics tied to EV drivetrains, industrial automation, and precision components, reminding investors that micro risks can overpower supportive macro flows.
Across the region, the picture was mixed. Chinese equities fell hard as traders braced for renewed regulatory tightening to rein in speculative capital and stabilize pockets of market froth. Losses clustered in high-beta tech and property-linked names, reinforcing a year-long pattern in which country-specific policy paths dictate day-to-day factor leadership. By contrast, Australia and India eked out gains, aided by the global shift toward Fed rate-cut pricing and a modest retreat in oil and gold that eased near-term inflation angst.
For allocators, three takeaways stand out:
Rates relief helps duration-sensitive equities. With long yields easing from recent peaks, multiples can breathe—particularly in Japan where structural reforms and shareholder returns are trending the right way.
Governance can be a swing factor. The Nidec plunge is a real-time case study in how governance headlines can overwhelm fundamentals, especially in serial acquirers with sprawling cross-border operations.
Asia is not monolithic. China’s policy cadence, Japan’s reform-and-returns story, and Australia/India’s domestic demand dynamics are pulling in different directions; country selection and risk budgeting matter more than broad regional calls.