Japan's Nikkei 225 index reached a new record high, closing at 43,714 yen on August 18, 2025, supported by a weaker yen that boosted export-related stocks and overseas futures buying. Early trading on August 19 saw the Nikkei briefly surpass its previous high, driven by optimism around potential U.S. interest rate cuts and strength in technology stocks. However, the index later gave up earlier gains and traded flat to slightly lower, with a decline of up to 0.4% at one point. Market participants cited a lack of fresh catalysts and some profit-taking on heavyweight stocks amid concerns of overheating. The 10-year Japanese government bond futures declined slightly, and Australia's S&P/ASX 200 index fell 0.5% in early trade. Overall, the Nikkei's movement reflected a cautious investor stance despite initial enthusiasm from currency and rate expectations.