The Nikkei 225 rose 0.29% to around 49,450, while the Topix Index was nearly unchanged at 3,339 in morning trade on Tuesday, as traders took profits following a 1.89% drop in the index the previous day amid growing speculation of a Bank of Japan rate hike. The broader index tracked gains on Wall Street overnight amid hopes for Fed rate cuts next week, with over 85% of bets pointing to a 25-basis-point cut. However, traders continued to monitor progress on Prime Minister Sanae Takaichi’s plans to bolster the economy and developments in China-Japan relations. Financials, retail trade, and energy minerals mainly drove the index, while electronics edged up after plunging the day before. Among early gainers were Fanuc Corp (8.6%), NGK Insulator (4.9%), Yaskawa Electric Corp (4.1%), and Sumitomo Electric (3.1%). Meanwhile, Fijuikura rose 2.8% after slumping 8.9% in the previous session.