At the Tokyo market open on the morning of 2 November, the Nikkei Average extended its decline, trading around ¥62,800, approximately ¥500 below the previous Friday. Selling intensified against the backdrop of a deterioration in Kioxia's earnings outlook.
The Nikkei Average extended its decline at the morning open, trading in the low ¥60,000 range. Selling was particularly pronounced in AI- and semiconductor-related stocks, which have weighed on the market, leaving the overall market soft.
Kioxia announced an estimated consolidated operating profit of ¥5.2597 trillion for the April–December 2026 period, representing 19 times the figure for the same period of the previous year. The fact that this was below the QUICK market consensus worsened investor sentiment and triggered selling in related stocks.
In the U.S. stock market, Intel's revenue outlook fell below the market forecast and the SOX Index declined. Deteriorating conditions for U.S. semiconductor stocks also affected domestic semiconductor stocks.
While weighing on the Nikkei Average, Recruit, Mitsubishi UFJ and Itochu declined. By contrast, Kirin Holdings and JR Central rose.
TOPIX also continued to decline, while investor sentiment remained weak.