The Nikkei 225 Index traded flat around 65,270 in early Wednesday trading, showing little direction as investors weighed rising oil prices that fueled inflation concerns and increased expectations for interest rate hikes. Oil prices continued to climb after US forces destroyed five Iranian crude tankers near Kharg Island in retaliation for attempted missile attacks on a US warship. Investors also kept a close watch on the yen after the currency strengthened to its highest level in nearly seven months. US Treasury Secretary Scott Bessent said he has “good insight” into the Bank of Japan’s plans to support the currency, warning traders against betting against him. Among individual stocks, SoftBank Group gained 3.9%, Fujikura rose 7.9% and Lasertec advanced 5.6%, while Nintendo fell 2.8%, Recruit Holdings dropped 2.9% and Fast Retailing declined 2.4%.