The Nikkei 225 fell for a second straight session as the effects of higher oil prices and weaker U.S. equities spread across the market, broadening selling pressure. Trading in Kioxia, which announced a stock split, remained subdued.
The Nikkei Stock Average continued to fall for successive sessions, while rising oil prices and a lack of stability in U.S. equities weighed on investor sentiment. Selling dominated across the broader market, bringing a short-term adjustment phase into focus. Supply concerns and looser supply-demand conditions were cited as factors behind the rise in oil prices, weighing on the market as a whole, including energy-related stocks.
Meanwhile, Kioxia announced a stock split, but trading following the announcement remained subdued. There were periods in which the decline in trading volume became pronounced when the stock-split announcement itself did not translate directly into investor activity.
Oil prices and the U.S. market are likely to remain key factors for the market ahead, and attention is also required on the performance of stocks involved in splits. Market participants continue to assess downside levels and periods of waiting for a rebound, while watching for additional policy and corporate news.