Tokyo stocks continued to pare their losses through the middle of the afternoon session, with the Nikkei 225 briefly easing a sharp decline. TOPIX also moved above the previous day's close at one point, while dip-buying was seen mainly in AI-related stocks.
The Nikkei 225 continued to pare its losses into the middle of the afternoon session, at times recovering from a sharp decline after the afternoon session opened. After opening well below the morning session close, the index narrowed its losses as dip-buying emerged.
The Tokyo Stock Price Index (TOPIX) briefly moved above the previous day's close, but remained in negative territory overall. Some market participants attributed the market's resilience during trading hours to the support provided by AI-related stocks.
In the morning session, the Nikkei 225 recorded a sharp decline from the previous close as selling in semiconductor-related stocks added to the pressure. In the afternoon session, however, dip-buying emerged and narrowed the decline. By issue, 54% fell and 42% rose.
By time of day, the Nikkei 225 was briefly down more than ¥600 at 10:00, at one point falling below the ¥64,000 level, but the market did not experience a broad-based decline. Some market participants pointed to funds rotating from AI-related stocks into other issues.