The Nikkei Average fell for the first time in 3 sessions in Tokyo trading on 27 August. AI and semiconductor stocks, which were affected by NVIDIA's earnings as a factor in U.S. equities, weighed on the market, and the Nikkei closed at ¥66,131.98, down more than ¥130 from the previous day.
NVIDIA reported its earnings in the previous day's U.S. trading session, with revenue and net income reaching record highs. Against a backdrop of rising long-term U.S. interest rates, however, the Nikkei Average in Tokyo turned sharply lower after opening.
The market opened sharply higher in the morning, but buying failed to continue and the index struggled to extend its gains throughout the session. The AI and semiconductor-related stocks opened higher in the morning, but profit-taking selling prevented the Nikkei Average's advance from lasting. TOPIX closed higher, while the TSE Growth Market index rose sharply.
Among individual stocks, Advantest, Disco and TAIYO YUDEN were weak. Recruit Holdings, Konami Group, Chugai Pharmaceutical and HOYA also declined, while Kioxia Holdings, SoftBank Group and Tokyo Electron were firm. The leading contributors to the Nikkei Average were mainly capital goods and semiconductor-related stocks, with positive and negative contributors mixed.
Across the market, the Nikkei Average closed down 0.20%, with trading value at approximately ¥7.87 trillion and trading volume at approximately 1.96156 billion shares. The Growth Market showed strong momentum, with Growth 250 up more than 2%.