Nikkei Average Finishes at Another Record High

Tokyo, Oct. 7 (Jiji Press)–Japan’s benchmark Nikkei 225 stock average hit an all-time closing high for the third consecutive trading day Tuesday, backed mainly by purchases of semiconductor and artificial intelligence names. The key index for the Tokyo Stock Exchange’s top-tier Prime section gained 6.12 points, or 0.01 pct, from Monday to end at 47,950.88. The broader TOPIX index closed up 1.85 points, or 0.06 pct, at 3,227.91, also hitting an all-time high. In the U.S. market Monday, the technology-heavy Nasdaq composite index and the S&P 500 index renewed their record highs. Advanced Micro Devices attracted hefty buying after signing a chip supply deal with OpenAI. In Tokyo, “expectations for brisk earnings at AI-related companies have risen again,” a major securities company official said. Chip-testing equipment maker Advantest, tech investor SoftBank Group and other related issues were actively sought. Fujikura, which supplies cables for AI data centers, hit a listing-to-date high. Investors remained optimistic about policy measures to be taken by Liberal Democratic Party President Sanae Takaichi, who is expected to become the next prime minister, market sources said. Automobile-related issues attracted buying on the back of the yen’s weakening against the dollar. In Tokyo trading, the dollar stood at 150.62-62 yen at 5 p.m., up from 150.00-00 yen at the same time Monday. Still, the Nikkei index lost much of its earlier gains in afternoon trading due to selling to lock in profit after jumping over 2,000 points Monday. “There was profit-taking by investors who wanted to see the course of Takaichi’s coalition talks with opposition parties and corporate earnings releases from late October,” an official of a midsize brokerage house said. END [Copyright The Jiji Press, Ltd.]