The Nikkei 225 ended trading down ¥1,889 at ¥64,325. Higher crude oil prices and rising US long-term interest rates weighed on the market, sending the TSE Prime Market broadly lower.
In Tokyo trading on the 2nd, the Nikkei Stock Average fell for a third consecutive session, closing ¥1,889.70, or 2.85%, lower than the previous business day at ¥64,325.64. Rising crude oil prices and higher long-term interest rates in Japan and the United States weighed on the market, driving a broad-based selloff. The decline reached ¥1,999 at one point.
Trading value on the TSE Prime Market was approximately ¥8.03 trillion. All 33 sectors declined, with notable weakness in nonferrous metals, services, and glass and ceramics products. Approximately 100 stocks, or 6%, rose, while about 1,436 stocks, or 92%, fell.
AI and semiconductor-related stocks with high index contributions led the decline. As interest rates rise, richly valued stocks tend to come under greater scrutiny, and electronic component stocks including TDK and Murata Manufacturing fell sharply. SoftBank Group dropped 6.4%, while Toyota Motor was also weak.
Defensive stocks, by contrast, attracted buying. Ito En rose 8.7% to renew its year-to-date high. Daiichi Sankyo also remained firm, while autonomous-driving company TIER IV surged to its daily limit, reflecting active trading.