As concerns about AI regulation surrounding the US midterm elections intensified, the Nikkei Average fell more than ¥3,000 at one point. Selling spread across AI-related and semiconductor stocks in the Tokyo market, pushing the index down to near ¥60,000.
As the Democratic Party was expected to gain majorities in both chambers of Congress in the US midterm elections, the Nikkei Average fell more than ¥3,000 at one point, declining to near ¥60,000 in the afternoon of the 4th. It fell to its lowest level since May.\n\nAs expectations grew that the Democratic Party, seen as supportive of AI regulation, would gain ground, concerns spread that investment in AI and data-center construction could be restrained, accelerating selling of AI-related and semiconductor stocks in the Tokyo market.\n\nMarket participants said, “Selling in response to the Democratic Party's advance has continued, adding momentum to the decline in semiconductor stocks.”