The Nikkei fell back on the 6th, at one point recording a decline of more than ¥1,300. Selling spread mainly across AI and semiconductor-related stocks as investors reacted to the previous day's sharp gains and took a negative view of movements in US technology stocks.
The Nikkei closed on the 6th at ¥65,683.26, down 0.9% from the previous day. The index's decline exceeded ¥1,300 at one point during the day. Declines in nonferrous metal stocks, including Fujikura, as well as post-earnings developments at SanDisk in the US market, also weighed on trading. Pressure on AI and semiconductor-related stocks pulled down the broader market.
In the overall market, equities were at times supported by moves in individual stocks. Kao announced an upward revision to its full-year operating profit forecast and the introduction of a shareholder benefits program, while OMRON shares also surged after the company raised its operating profit forecast. Ito (伊藤), a senior strategist at Nomura Securities, said that stock-specific buying would continue amid a shortage of macroeconomic catalysts, against a backdrop of many companies reporting results above market expectations.
Bond and foreign-exchange markets moved in mixed directions. Bonds rose as crude oil prices fell, with the September long-term government bond futures contract closing 30 sen above the previous day. The yield on the newly issued 10-year government bond declined to 2.76%, while that on the newly issued 30-year bond also fell to 3.895%. The yen traded in the upper ¥157 range against the dollar, at ¥157.83 as of 3 p.m. based on the New York closing rate. Market participants remained focused on assessing the US employment report.