The Nikkei 225 narrowed its losses at the afternoon session open. Dip-buying emerged in AI and semiconductor-related stocks, limiting the decline.
The Nikkei 225 began the afternoon session at a level ¥729.52 lower than the previous day, narrowing its losses despite following the morning's sharp decline. Dip-buying emerged in some AI and semiconductor-related stocks in the morning, with signs that it was supporting the market's decline.
At the morning close, the Nikkei 225 was reported at a level ¥1,043.96 lower than the previous day. Expectations of higher US interest rates weighed on investor sentiment and prompted profit-taking, while dip-buying helped narrow the losses. TOPIX stood at 4,128.76, trading volume was 946.38 million shares, and trading value was ¥3.5262 trillion.
By sector, securities and commodity futures, electric appliances, and machinery declined. In contrast, electricity and gas, transportation equipment, and mining rose. The Standard TOP20 and the major Growth Market indices also fell, indicating that the market as a whole continued to move lower.
At 10:10 a.m., the Nikkei 225 extended its losses after opening, falling as low as ¥64,832.10. Expectations of higher US interest rates, fueled by remarks from Fed Chair Warsh at the Jackson Hole meeting, weighed on market sentiment. Semiconductor stocks remained weak, with Advantest down about 7% and Tokyo Electron down about 4%.