Tokyo's stock market indices saw significant declines, with the Nikkei 225 falling by 2.18% and the TOPIX down by 1.44%. Influenced by overnight declines in New York markets due to worsening Middle East tensions, investor risk aversion increased.
Concerns over European financial institutions' forecasts that demand for Apple's (AAPL, Financial) iPhone 16 would be lower than expected led to notable drops in U.S. tech stocks, further impacting Japanese semiconductor and electronic component manufacturers such as Tokyo Electron, Advantest, and Murata Manufacturing.
Throughout the trading session, both major indices experienced narrow fluctuations before widening losses by the close. The Nikkei index dropped 843.21 points to 37,808.76, while the TOPIX fell 38.82 points to 2,651.96.
Of the 33 industry sectors on the Tokyo Stock Exchange, most declined, with notable losses in air transportation, electrical products, banking, and insurance. Conversely, sectors like mining, petroleum & coal products, and steel saw gains.
