Group 1: Trade Agreement Impact - The unexpected US-Japan trade agreement has transformed Japan's stock market dynamics, turning previous losers into winners, particularly benefiting large automotive manufacturers [1][2] - The agreement reduces US tariffs on Japanese cars from 25% to 15%, leading to a significant rebound in the automotive sector, with the Nikkei automotive index soaring by 11% [4] - Japan's government has committed to investing $550 billion in the US, which is expected to benefit machinery manufacturers as automotive companies may expand their investments in the US [5] Group 2: Winners - Automotive manufacturers are the biggest winners from the trade agreement, with major companies like Toyota seeing stock price increases of 14% [4] - Machinery manufacturers, such as Fanuc and Yaskawa, experienced stock price increases of 12% and 11% respectively, due to anticipated benefits from increased investment in the US [5] - Large commercial banks are expected to benefit from rising interest rates and bond yields, with a high probability of the Bank of Japan raising rates by the end of the year [6] Group 3: Losers - Defense-related stocks, previously seen as safe havens, are experiencing significant sell-offs due to rumors surrounding Prime Minister Shigeru Ishiba's potential resignation [7] - Domestic-oriented defensive stocks, such as Ryohin Keikaku and Food & Life, may face substantial selling pressure following the trade agreement [8][9] - Real estate companies are likely to be under pressure due to higher debt levels and potential increases in bond yields, which could negatively impact their fundamentals [10]