The Nikkei 225 Index Closes 0.06% Lower

The Nikkei 225 Index slipped 0.18% to close at 66,115 on Wednesday, reversing gains from earlier in the session as the rally in semiconductor stocks lost steam. Investors also turned cautious ahead of earnings from major US technology companies, including Alphabet and Tesla, to gauge the outlook for the sector. Meanwhile, markets continued to monitor rising oil prices as the US carried out strikes on Iranian targets for an 11th consecutive night, while President Donald Trump downplayed the likelihood of near-term talks with Tehran. Among individual stocks, Tokyo Electron (-0.9%), SoftBank Group (-0.8%), and Fast Retailing (-2.8%) posted notable losses, while Kioxia Holdings (5.3%), Taiyo Yuden (6.7%), and Murata Manufacturing (4%) were among the strongest gainers. On the data front, Japan’s trade balance shifted to a deficit in June as import growth outpaced exports.

The Nikkei 225 Index fell 40 points or 0.06 percent on Wednesday to close at 66192 points. Leading the losses are J Front Retailing (-5.51%), Shiseido (-5.33%) and Takashimaya (-4.51%). Top gainers were Mitsui Kinzoku (7.73%), Taiyo Yuden (7.41%) and Resonac Holdings (5.37%).

Asian equity markets mostly advanced on Wednesday, tracking gains on Wall Street as semiconductor stocks rallied on renewed optimism about artificial intelligence-driven demand. Investors also looked past rising oil prices as the US carried out strikes on Iranian targets for an 11th straight night, while President Donald Trump downplayed the likelihood of near-term talks with Tehran. Technology-heavy markets in Japan and South Korea led regional advances, with equities in Australia and China also posting gains. In corporate news, China’s Moonshot AI is reportedly set to begin discussions in August for a final fundraising round ahead of its planned Hong Kong listing, targeting a valuation of as much as $50 billion.