Nikkei Stops Its Speed—Is AI Starting to Be Doubted?
The Nikkei 225 index fell 0.1% to close at 53,323 on Friday, snapping a three-day uptrend. The greatest pressure came from technology stocks, as the market began to worry about whether massive investments in the artificial intelligence (AI) sector could be sustained. Sentiment weakened after US futures fell, bringing the Japanese stock market into a negative mood.
The market was also nervous due to speculation that US President Donald Trump would choose former Fed Chairman Kevin Warsh as the next central bank chairman. Warsh is considered more "aggressive," leading investors to fear that the Fed's policy direction could be tighter than expected. Domestically, Japanese investors were also cautious ahead of the snap House of Representatives elections on February 8, adding to the market's wait-and-see attitude.
On the stock market, the decline in the technology sector was led by Advantest, which fell 5%, Lasertec, which fell 2.9%, and Keyence, which fell 4%. But it wasn't all bad: Kioxia Holdings, a data storage company, actually jumped 11% to a new record high ahead of its earnings release on February 12. Overall, the Nikkei posted a second straight week of declines, but still closed the month up nearly 6%. (az)
Source: Newsmaker.id
