Nikkei 225 Ends 2.12% Lower at 63,290.11 as AI Concerns Hit Tech Stocks
Published on 10/30/2026 at 18:45 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSNikkei slides on AI spending concerns
- The Nikkei 225 closed October 30 at 63,290.11, down 1,369.36 points, or 2.12 percent.
- Reuters reported that worries about the profitability of heavy artificial-intelligence investment pressured global technology and Japanese chip stocks.
- The Bank of Japan held its policy rate at 1.25 percent in an 8-1 vote while keeping the prospect of further tightening in focus.
- Despite Friday's decline, Reuters reported that the Nikkei remained 0.2 percent higher for the week.
The Nikkei 225 closed the October 30 session at 63,290.11, falling 1,369.36 points, or 2.12 percent. The closing level and point change were reported by JIJI PRESS at 15:30 Japan Standard Time, after the Tokyo market had finished trading.
Technology stocks lead the retreat
The decline was concentrated in chip and artificial-intelligence-related shares. Reuters reported that overnight losses on Wall Street, together with reactions to Amazon and Intel earnings, intensified concerns about the scale of cash spending required to fund the AI boom. The report cited Nomura strategist Maki Sawada, who said investors were increasingly questioning the profitability of AI investments.
Reuters said Advantest and Tokyo Electron were among the heaviest drags, with their shares falling 9.1 percent and 5.6 percent, respectively, during the session. Other technology-linked decliners included Ibiden, Lasertec and SoftBank Group. The broader Topix fell less sharply, down 1.3 percent, while 123 Nikkei constituents declined, 100 rose and two were unchanged, according to the same report.
BOJ decision adds a policy focus
The Bank of Japan kept its overnight call rate at 1.25 percent in an 8-1 decision. Investing.com, published on Yahoo Finance, reported that board member Hajime Takata dissented in favor of a 25-basis-point increase. The central bank said underlying consumer-price inflation was generally consistent with its 2 percent stability target and reiterated that it would continue responding to growth and inflation conditions.
The decision therefore left the timing of any further increase as a focus for investors, rather than delivering an immediate rate change. The policy signal came as technology shares were already under pressure from global concerns about whether large AI infrastructure investments will generate sufficient returns. Even after Friday's sell-off, Reuters reported that the Nikkei remained 0.2 percent higher over the week.
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