At the end of the trading day on Wednesday, the Nikkei 225 index in Japan finished the day at 67,744, indicating a slight decrease of 0.05%. This turn of events represents a reverse from earlier gains, and it marks the fifth consecutive session in which the index has experienced a decrease. Following the revelation made by the Dutch chip-equipment manufacturer ASML, which suggested that it would not be able to fully supply demand in the coming two years, sentiment became more pessimistic.
Concerns about the strength of the artificial intelligence investment surge have been heightened as a result of this. In response to the intensification of inflationary fears brought about by rising oil prices and persistent supply difficulties in the Middle East, investors demonstrated a degree of caution among themselves. Earlier in the afternoon, dovish statements made by New York Fed President John Williams provided some assistance for the equity market.
Williams said that one extra rate hike may be warranted this year, but he thought that there was no reason for further tightening in 2027. There was a significant reduction in the value of technology and banking equities, with Kioxia Holdings falling by 3.2%, Lasertec falling by 1.6%, Tokyo Electron experiencing a loss of 2.7%, Mitsubishi UFJ falling by 1.9%, and Mizuho Financial falling by 2.9%.
