Japan's Nikkei ends lower as AI stocks tumble, geopolitical risks weigh
EWJ•Japan's Nikkei 225 fell 1.82% to 67,777.52, its fourth consecutive session of losses, while the Topix rose 0.14% to 4,110.67. Semiconductor shares led declines as geopolitical tensions and uncertainty about inflation and US monetary policy weighed on sentiment.
1. Nikkei extends losses
The Nikkei 225 closed down 1.82% at 67,777.52 on Tuesday, its fourth consecutive session of losses. The broader Topix rose 0.14% to 4,110.67.
2. Semiconductors weigh
Weakness in semiconductor stocks followed a 1.2% overnight decline in the Philadelphia Semiconductor Index. Kioxia Holdings fell 13.28%, Kokusai Electric dropped 9.53% and Sumco lost 8.64%.
3. Risks keep investors cautious
Japan's wholesale inflation was 6.8% year-on-year in September, the Bank of Japan reported. Uncertainty over the US Federal Reserve's next policy move and geopolitical risks in the Middle East and Ukraine also weighed on sentiment. Marine transportation shares gained 3.35%, while nonferrous metals fell 4.79%.
