Nikkei 225 closes 0.33% lower as Kioxia weighs on Tokyo
Published on 11/02/2026 at 19:08 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSNikkei ends lower as chip stocks retreat
- The Nikkei 225 closed at 63,081.86 on November 2, down 208.25 points, or 0.33 percent.
- Kioxia fell 15.78 percent after a cautious profit outlook, while Tokyo Electron and other semiconductor equipment stocks limited the decline.
- Japanese markets will be closed on November 3 for Culture Day, with investors also watching the US midterm elections and upcoming corporate earnings.
The Nikkei 225 finished Monday's Tokyo session at 63,081.86, down 208.25 points, or 0.33 percent, according to News On Japan. The decline extended the index's losses into a second consecutive trading session after its 2.12 percent fall on October 30. The comparison is with the previous Tokyo close, not with the current publication slot.
Kioxia outlook weighs on technology shares
Memory-chip maker Kioxia was the main source of pressure. Its shares dropped 15.78 percent after the company issued a cautious outlook for the quarter through December. The guidance raised concerns that earnings growth linked to artificial-intelligence and data-center demand may be moderating, even though underlying memory demand remains strong.
Screen Holdings also fell sharply, while SoftBank Group and other technology-related names weakened. The broader selling followed losses in US technology and semiconductor stocks at the end of the previous week, adding to investor caution over elevated valuations and the durability of AI-related capital spending.
Strong earnings provide partial support
The market decline was relatively contained because several semiconductor-related companies attracted buyers after favorable earnings signals. Tokyo Electron gained 5.16 percent after reporting stronger results and announcing a share buyback program worth up to 150 billion yen. Advantest and Lasertec also advanced. The contrast between Kioxia's reaction and the gains in selected equipment makers pointed to a more selective approach to Japan's technology sector rather than uniform selling.
Market breadth nevertheless remained weak. Reuters, published by Investing.com, reported that declining stocks on the Tokyo Stock Exchange substantially outnumbered advancing issues. Kioxia, Screen Holdings and Alps Alpine were among the weakest performers, while NGK Corporation, Lasertec and Sapporo Breweries ranked among the stronger Nikkei constituents.
Holiday and earnings keep investors cautious
Japan's markets will be closed on Tuesday, November 3, for Culture Day, with regular trading scheduled to resume on Wednesday. Investors therefore face a gap in domestic trading while monitoring the US midterm elections, global technology shares and a busy Japanese earnings calendar. More than 500 listed companies were scheduled to report results during the week, increasing the potential for company-specific moves when Tokyo reopens.
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