Tokyo stocks extended their gains in morning trading on buying in AI and semiconductor-related stocks. The Nikkei rose sharply at the open, gaining 457.49 points from the previous day to 65,476.44, while SoftBank Group was trading more than 5% higher.
The Nikkei Stock Average began trading 457.49 points above the previous business day after the open, with gains widening during the day. Strength in U.S. technology stocks spilled over into the Tokyo market, prompting concentrated buying in AI (artificial intelligence) and semiconductor-related stocks. Buying interest in high-priced stocks was cited as one factor supporting the Nikkei's advance.
Meanwhile, some large-cap stocks came under selling pressure, and the TOPIX at one point gave up its gains. Market participants said funds were concentrated in AI and semiconductor stocks today, with high-priced stocks such as financials prone to selling as concerns about stagflation increase.
SoftBank Group was up approximately 5% amid sector movements, becoming one of the factors lifting the broader market. At the open, expectations remained that technology stocks would continue to perform well, and buying in response to developments in U.S. technology stocks may have continued.
Across the broader market, buying interest in AI and semiconductor-related stocks remained the focus, even as elevated crude oil prices and rising U.S. interest rates were increasingly viewed as psychological risks. Based on developments around the middle of the morning session, views were spreading that today's market movement would be particularly susceptible to developments in AI and semiconductor-related stocks.