The Nikkei 225 plunged more than ¥2,000 at one point, entering the ¥50,000 range for the first time in about five months. Selling spread mainly across AI-related stocks against the backdrop of sharp declines in US markets.
On the morning of 6 November, the Nikkei 225 plunged, falling more than ¥2,000 at one point and briefly entering the ¥50,000 range during trading. Following the previous day's decline in US markets, selling intensified mainly in tech stocks.
In US markets, expectations of tighter regulation related to data centers emerged following the midterm election results, triggering a sharp increase in selling of related stocks and accelerating the decline in the Japanese market. Market participants described the decline as record-breaking, while also referring to the possibility of an overreaction.
The Nikkei 225 also fell below ¥60,000 during trading, dropping below levels seen before June. The record-breaking move below ¥50,000 was described as the first since 20 May, causing significant fluctuations in investment trends in the Japanese market.
Reports that day focused on the link between the Nikkei 225's decline and US factors, with market observers mainly noting that the performance of AI-related stocks and the outlook for data-center regulation had affected investor sentiment.