The Nikkei 225 index in Japan advanced by 1.6%, closing at a record high of 71,053.49 points. This marks the first time the benchmark has finished a session above the 70,000-point threshold.
Electronics stocks spearheaded the rally as market optimism regarding a prospective U.S.-Iran peace accord and sustained demand for artificial intelligence continued to build. Murata Manufacturing Co., Ltd. surged 8.1%, while Tokyo Electron Ltd. gained 4.7%.
Meanwhile, the yield on Japan's 10-year government bond edged up by 1.5 basis points to 2.615%. The U.S. dollar was trading at 160.63 yen, holding largely steady compared to 160.64 yen at the New York close on Wednesday.
Investor attention is now turning towards developments in the Middle East and the trajectory of crude oil prices.