The Nikkei 225 fell more than ¥2,300 at one point, closing at ¥65,326, below ¥66,000. Concerns over higher crude oil prices and rising interest rates amid tensions in the Middle East prompted selling centered on growth stocks.
The Nikkei 225 plunged from the morning session, falling more than ¥2,300 at one point. Selling was led by AI and semiconductor-related stocks, while investors adopted a stronger risk-off stance.
Although the decline narrowed toward the end of the session, the index closed ¥2,134 lower than the previous day at ¥65,326, ending below ¥66,000. Persistently high crude oil prices and rising interest rates worldwide heightened caution across the market.
Market participants said that although strong corporate earnings could provide support, concerns over rising interest rates remained pronounced and were acting as a downward pressure on share prices.
The latest market move again shows how instability in the Middle East and changes in the global interest-rate environment are affecting the Japanese market.