The Nikkei 225 closed above ¥70,000 for the first time, while funds remained concentrated in AI-related stocks. About 30% of its constituents continue to trade below their year-end levels.
The Nikkei 225 closed above ¥70,000 for the first time on the 18th, continuing to rise at a pace that has seen it cross each major threshold within a short period. However, funds remain concentrated in AI-related stocks, and about 30% of its constituents remain below their closing levels at the end of last year.
After surpassing ¥40,000 in March 2024, the index rose to ¥50,000 in October 2025 and ¥60,000 in April 2026, breaking above ¥70,000 again in less than two months. Stocks related to semiconductors and electronic components tied to the AI data center construction boom were cited as a factor driving the gains.
Some market participants believe that Tokyo Electron, KIOXIA Holdings Corporation and SoftBank Group Corp. alone account for half of the Nikkei 225's gain, and expect technology stocks to continue leading the market. At the same time, a significant number of stocks have been left behind, and readers need to monitor both the performance of AI-related stocks and the market as a whole.
As of the 18th, one-third of the Nikkei 225's constituents remained below their closing levels at the end of last year, highlighting the extent to which global fund flows have been concentrated in AI-related stocks. The key points to examine are the relationship between the performance of AI-related stocks and the Nikkei 225's trajectory, as well as the status of stocks that have been left behind.