The Nikkei 225 fell 126 yen at the close of the Tokyo market, extending its decline. As concerns over the situation in the Middle East lingered, AI and semiconductor-related stocks supported the market on the downside.
The Nikkei 225 fell approximately 126 yen from the previous day at the close of the Tokyo Stock Exchange, with the market generally soft. As selling pressure spread against the backdrop of developments in the United States and China and the international situation, reports suggested that investors had adopted a more risk-averse stance. Although the market-wide decline remained limited, the index appeared to remain on a downward trend at the end of trading.
What stood out in this environment was the ability of AI (artificial intelligence) and semiconductor-related stocks to support the market on the downside. Reports indicated that, owing to supply and demand dynamics, related stocks helped restrain the market's overall decline, with the performance of a specific sector influencing sentiment across the market.
At the same time, concerns over the situation in the Middle East constrained market participants' risk tolerance, at times locally contributing to a decline in trading value and higher volatility. While attention remained focused on AI and semiconductor-related stocks, changes in the macroeconomic environment and geopolitical risks were cited as factors that could determine the market's subsequent direction.