Japan’s Nikkei 225 Nears Technical Bear Market as AI Trades Unwind

Japan’s Nikkei 225 is nearing a technical bear market as investors pull back from artificial intelligence-related trades.

The Nikkei 225 is a stock market index in Japan.

A technical bear market is a market classification; the index has not yet been reported as entering one.

The shift is tied to investors unwinding AI-related trades.

The development matters because it points to a retreat from those trades in Japan’s stock market.

The index is on track to enter the classification, but no further developments are specified.