Crude prices hovering above $102 have kept risk sentiment subdued, pushing the Nikkei higher amid global volatility.
The Nikkei 225 closed 1.70% higher at 32,400.22 points, its best performance since March, according to the Nikkei.
Bloomberg reported Brent crude advanced 3.9% to $103.08, while WTI rose 2.8% to $101.50, fueling investor sentiment across Asia.
The TOPIX index recovered after an early dip, posting a 0.52% gain to 11,850.55 points, while the KOSPI remains closed for the Chuseok holiday but futures show a muted 0.3% rise on the spread.
U.S. markets slid, with the S&P 500 down 0.8% and Nasdaq 0.9%, as the 10‑year Treasury yield spiked 15 bps to 5.11%, echoing a global risk‑off sentiment. Traders will now focus on the Fed's June policy meeting and the upcoming earnings season, with analysts at RBC suggesting that if crude stays above $102, the Nikkei could maintain its upward trajectory.