Japanese Shares Fall for Second Session

The Nikkei 225 Index fell 0.6% to around 63,300, while the broader Topix Index slipped 0.3% to 3,948 on Tuesday, as Japanese equities declined for a second consecutive session, led by losses in technology stocks. The weakness came despite a strong overnight rally in major US tech shares, with investors remaining cautious about the outlook for the artificial intelligence trade. Markets also continued to digest the yen’s sharp appreciation following coordinated efforts by Japan and the US to support the currency, while staying alert for the possibility of further intervention. A stronger yen clouds the earnings outlook for Japan’s export-driven companies and makes domestic equities less attractive to foreign investors. Among technology stocks, Kioxia Holdings (-1%), SoftBank Group (-2.4%) and Advantest (-2.2%) posted notable declines. Financial and consumer shares also moved lower, including Mitsubishi UFJ (-1.8%) and Fast Retailing (-1.7%).


