The Tokyo market opened on the 2nd with the Nikkei Average lower for a second straight session, falling to around ¥62,800. Selling spread to AI and semiconductor stocks, with Kioxia's below-consensus profit outlook weighing on the market.
The Nikkei Average opened lower for a second straight session in the morning session, trading at around ¥62,800 at the start of trading, below the previous weekend's level. Risk aversion among investors strengthened, and movements in AI- and semiconductor-related stocks have been supporting the market.
Kioxia, one of the major stocks, expects consolidated operating profit of ¥5.2597 trillion for the April–December 2026 period, but indicated an outlook below QUICK's consensus. This worsened investment sentiment toward AI and semiconductor stocks and spread as a selling factor to other related stocks.
In the U.S. market, Intel's earnings outlook fell below market expectations, and the SOX index fell around 7% that day, weighing on domestic semiconductor stocks. According to an FT report, Blackstone pointed to uncertainty over funding for AI investment, leaving a sense of unease across AI-related stocks.
Recruit, Mitsubishi UFJ and Itochu fell, while Kirin Holdings and JR Central rose, and the TOPIX remained on a downward trend. Against this backdrop, caution remains strong toward both individual stocks and the broader market trend.