Japan's Nikkei Rises as iPhone-related Stocks Jump

Nikkei Index Rises with iPhone Stocks on Tariff Exclusions

TOKYO (Reuters) -Japan's Nikkei share average rose on Monday, led by iPhone-related shares after the United States excluded smartphones and other electronics from steep tariffs.

As of 0218 GMT, the Nikkei was up 1.5% at 34,086.16, after gaining as much as 2.22% earlier in the session.

The broader Topix had risen 1.45% to 2,502.86.

"The market is still swayed by various headlines," said Yugo Tsuboi, chief strategist at Daiwa Securities.

"And none of them are good enough to encourage investors to take their positions confidently."

U.S. President Donald Trump's administration granted exclusions from steep tariffs on smartphones, computers and some other electronics imported largely from China, providing a big break to tech firms like Apple that rely on imported products.

However, both Trump and U.S. Commerce Secretary Howard Lutnick said over the weekend these goods will come under separate tariffs, along with semiconductors, that may be imposed in a month or so.

Trump had announced hefty reciprocal tariffs on dozens of countries on April 2, triggering a market rout, but reversed them with a 90-day freeze shortly after they went into effect.

A 10% blanket duty on almost all U.S. imports remains in effect.

The Nikkei had declined 4.23% since what Trump called "Liberation Day", after posting huge swings last week. The sudden moves underscored investor anxieties as they tried to gauge the fallout from the U.S. trade policy.

Still, shares of smartphone and chip-related shares rose on Monday.

Murata Manufacturing, which supplies components for iPhones, rose 1.43%, and electronic parts maker TDK jumped 5.2%. Chip-testing equipment maker Advantest rose 3.84%.

Of more than 1,600 stocks trading on the Tokyo Stock Exchange's prime market, 89% rose and 9% fell, with 1% flat.

(Reporting by Junko Fujita; Editing by Tom Hogue and Varun H K)