The Nikkei 225 Index Closes 0.14% Higher

Japan’s Nikkei 225 slipped 0.05% to close at 67,744 on Wednesday, surrendering earlier gains and extending its decline to a fifth consecutive session. Sentiment weakened after Dutch chip-equipment maker ASML said it would be unable to fully meet demand over the next two years, fueling concerns over the sustainability of the AI investment boom. Investors also remained cautious as rising oil prices and persistent supply disruptions in the Middle East heightened inflationary risks. Earlier in the session, equities drew some support from dovish remarks by New York Fed President John Williams, who said one additional rate hike may be appropriate this year but saw no need for further tightening in 2027. Technology and banking stocks led the declines, with Kioxia Holdings falling 3.2%, Lasertec dropping 1.6%, Tokyo Electron losing 2.7%, Mitsubishi UFJ declining 1.9%, and Mizuho Financial sliding 2.9%.

The Nikkei 225 Index went up by 97 points or 0.14 percent on Wednesday to close at 67874 points. The rise was led by Takara (4.57%), Taiyo Yuden (4.01%) and Fuji Electric (3.42%). On the downside, the weakerst performers were Olympus (-13.33%), AEON (-5.25%) and J Front Retailing (-3.87%).

The Nikkei 225 Index rose 0.4% to above 68,000 on Wednesday, ending a four-session losing streak as selling pressure in technology and AI-related stocks eased. Sentiment also improved following dovish comments from New York Fed President John Williams, who maintained that one additional rate hike would be appropriate this year but saw no need for further tightening in 2027. Lower US Treasury yields provided further support for Japanese equities, although elevated oil prices limited gains. Among the top technology performers, Advantest gained 1%, Kioxia Holdings rose 2.2%, Lasertec advanced 2.5%, SoftBank Group climbed 2.6%, and Taiyo Yuden surged 5.1%. Japanese technology stocks had faced mounting pressure in recent sessions amid concerns over AI-related investments and intensifying competition from China.