Business · Markets · 2 hrs ago

Japan’s Nikkei falls 2.52% as chip shares and Middle East risks weigh

Japan’s Nikkei falls 2.52% as chip shares and Middle East risks weigh

Japan’s Nikkei share index fell 2.52% by midday on October 13, extending its decline from the previous trading session.

It closed the morning at 67,292.39, down 1,738.53 points from October 9, and had at one point lost more than 1,900 points.

AI and semiconductor stocks led the selling after US chip shares fell the previous day.

News of progress on a new memory product by China’s CXMT also raised concerns about tougher competition.

Tensions in the Middle East added to investor concern after Yemen’s Houthi group attacked an international airport in Riyadh, Saudi Arabia, on October 10 and 11.

Investors also worried that disrupted oil supplies, transport or movement could hurt Japan’s economy and company earnings.

The broader TOPIX index also fell, by 0.46% by midday.

What people are saying

Hirotake TsuboiChief strategist at Daiwa Securities
If logistics and the movement of people are disrupted, that would put the brakes on economic activity, and if those effects emerge going forward, they would also affect the stock market.
via Nikkei

Sources

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