By Momoka Yokoyama and Kentaro Tsutsumi

(Bloomberg) -- Nintendo Co. shares rallied the most in two months to a fresh record as investors increased their focus on the firm’s strong sales growth as a shelter from global volatility.

A Nintendo Switch 2 game console advertising display is seen at a Fnac Darty during a launch event as Nintendo starts selling the new consoles globally, in Paris, France June 5, 2025. REUTERS

Most Read from Bloomberg

• Security Concerns Hit Some of the World’s ‘Most Livable Cities’

• How E-Scooters Conquered (Most of) Europe

• As Part of a $45 Billion Push, ICE Prepares for a Vast Expansion of Detention Space

The stock extended gains to a fifth day, adding as much as 7.1%, on signs of overwhelming demand for the Switch 2. The Kyoto-based game maker sold over 3.5 million units of the highly anticipated console in the four days since it was launched, according to data as of June 11. That vastly outstripped sales of the original Switch eight years ago.

“As the US and Japan failed to reach an agreement on tariff measures on the sidelines of the Group of Seven summit, funds are flowing into the game sector, which is less affected by tariffs,” said Hideki Yasuda, an analyst with Toyo Securities Co.

Gains were also seen in other companies in the gaming sector, which is viewed as more resilient to tariff uncertainties and a worsening geopolitical outlook. Square Enix Holdings Co. rose as much as 4.7% and Bandai Namco Holdings Inc. added 3.9%.

Japanese companies control two of the world’s top gaming platforms — Sony’s PlayStation and Nintendo’s Switch — and some of the most successful game series like Elden Ring and Super Mario.

Most Read from Bloomberg Businessweek

• Ken Griffin on Trump, Harvard and Why Novice Investors Won’t Beat the Pros

• Mark Cuban Has Done Sports, Reality TV and Now Health Care. Why Not US President?

• How a Tiny Middleman Could Access Two-Factor Login Codes From Tech Giants

• American Mid: Hampton Inn’s Good-Enough Formula for World Domination