The Nikkei Average plunged in the Tokyo stock market, closing at ¥64,425.95, down ¥3,318.34 from the previous day. Japanese stocks linked to the sector were also sold as concerns grew over deteriorating finances in the US AI industry.
The Nikkei Average closed at ¥64,425.95 in the Tokyo market on the 15th, down ¥3,318.34 from the previous day, ending the session with a sharp decline. The latest major drop sent the index below ¥65,000 for the first time in about a month.
Concerns over the finances of a US startup operating AI data centers came to light, raising concerns about funding difficulties across the sector. Japanese markets also fell in response, led by AI-related stocks.
The decline was described as the "third-largest on record," and investors are expected to continue monitoring the performance of related stocks and their funding conditions.
Market participants said they want to carefully assess the impact of deteriorating financial conditions in the US on Japanese markets, and noted that risk-off moves could intensify again depending on developments ahead.