On the 4th, the Nikkei Stock Average fell more than ¥3,000 at one point from the level at the start of the week, as selling spread mainly across AI and semiconductor-related stocks. Some observers said that concerns about further regulatory tightening, against the backdrop of the ongoing vote count in the US midterm elections, were weighing on market sentiment.
On the 4th, the Nikkei Stock Average fell more than ¥3,000 at one point. The market reacted to selling in AI and semiconductor-related stocks, with selling concentrated in names such as Kioxia Holdings Corporation, Advantest and SoftBank Group.
The decline was attributed to concerns about the outlook surrounding the US midterm elections, where vote counting was under way. Some observers said that movements in high-priced stocks, in particular, had dragged down the broader market.
Market participants pointed to the pace at which the Democratic Party was gaining seats, exceeding initial expectations, and said concerns about tighter data center regulations after the election were intensifying. This was said to be creating downward pressure on AI and semiconductor-related stocks.
On the day, both movements in individual stocks and regulatory risk were cited as factors behind the decline in the Nikkei Average. Investors continued to closely monitor market trends and future policy developments.