The Nikkei 225 Index Closes 4.44% Higher

The Nikkei 225 Index fell 0.6% to below 69,500 on Wednesday, extending the previous session’s losses as a technology-driven selloff on Wall Street weighed on sentiment amid growing concerns over heavy AI spending by hyperscalers. In Japan, the Summary of Opinions from the Bank of Japan’s June meeting showed that policymakers generally favored continuing interest rate hikes, citing underlying inflation moving closer to the central bank’s 2% target while financial conditions remain supportive. On the geopolitical front, progress in US-Iran peace negotiations helped increase traffic through the Strait of Hormuz, easing pressure on global energy supplies and reducing inflation concerns. Among notable decliners, Fujikura dropped 2.7%, Tokyo Electron lost 2.2%, Furukawa Electric fell 1.7%, Disco Corp slipped 2.2%, and Sumitomo Electric declined 1.6%.

The Nikkei 225 Index dropped 1854 points or 2.56 percent on Tuesday to close at 70500 points. Losses were led by Furukawa Electric (-15.59%), Mitsui Mining & Smelting (-12.36%) and Softbank (-10.05%).

The Nikkei 225 Index dropped 3.6% to close at 69,788, while the broader Topix Index fell 2.6% to 3,990 on Tuesday, with both benchmarks pulling back from record highs as investors took profits following a strong rally in semiconductor and artificial intelligence-related stocks. Japanese equities also mirrored overnight weakness on Wall Street, where major US technology stocks came under pressure. Meanwhile, investors drew encouragement from signs of progress in ongoing US-Iran negotiations after Washington granted Tehran a 60-day license to sell oil on international markets, fueling expectations of a faster recovery in global supply. Among individual movers, losses were led by the tech conglomerate Softbank Group and chip maker Kioxia, which slumped 10.1% and 15.1%, respectively. Chip-equipment maker Tokyo Electron shed 6.2%, while Ibiden put off 6.6%.