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Nikkei
Source: Newsmaker.id
The Nikkei 225 index climbed 1.1% on Thursday (October 29), marking its third consecutive session of gains. Market sentiment was bolstered by the strong performance of Advantest, which fueled optimism regarding demand for chip-testing equipment used in artificial intelligence.
Shares of Advantest surged 6% after the company raised its annual profit forecast. Other technology stocks—including Kioxia, Ibiden, and Tokyo Electron—also saw gains, driven by growing expectations for AI-related chip demand.
Nevertheless, the tech sector remains shadowed by concerns regarding the appetite for AI investment. Disappointing results from Alphabet and Samsung Electronics have reignited questions about whether the massive scale of AI investment can truly deliver commensurate growth and profitability.
Investors are also shifting their focus toward the upcoming Bank of Japan (BOJ) meeting. While the central bank is expected to keep interest rates unchanged, it may signal a potential rate hike in December, given that inflationary pressures remain elevated.
Overall, the technology sector continues to be a primary pillar for the Nikkei; however, the market’s upward momentum will depend on the outlook for AI investment and the direction of BOJ policy. Investors are currently weighing the strength of chip demand against the risks posed by monetary tightening in Japan. (srh)
Source: Newsmaker.id