Japan's Nikkei 225 hit a record high Tuesday for the second straight session, lifted by a tech rally on Wall Street after a massive deal between OpenAI and AMD — seen as one of the most direct challenges yet to chipmaker giant Nvidia .

Chip stocks were among the top movers on the index. Shares of Advantest rose over 4%, while Tokyo Electron added 2%. Lasertec was up 1.35%, and Renesas Electronics advanced 4.85%.

The Nikkei 225 hit a fresh high Monday after Japan's ruling Liberal Democratic Party elected staunch conservative Sanae Takaichi as its new leader Saturday, positioning her to become the country's first female prime minister.

Meanwhile, the Topix index rose 0.31%. Japanese Government Bond yields rose to all-time highs

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