The Nikkei extended its sharp decline. Selling spread across semiconductor and AI-related stocks against the backdrop of the US midterm elections, and these were identified as factors behind the market's decline.
The previous day's US equity markets were mixed, with the Nasdaq Composite and S&P 500 rising on short covering in AI and semiconductor-related stocks. At the same time, there were reports of speculation that selling emerged in response to Apple's earnings.
In response to these movements, uncertainty related to the US midterm elections spread through the Japanese market, and semiconductor and AI-related stocks came under selling pressure. The Nikkei fell sharply, while investors are focusing on future policy developments and corporate earnings.