Market Updates

Japan's Indexes Eased to One-Month Low Amid Escalating Tensions in the Middle East

Akira Ito
14 Jul, 2026
Tokyo

    Japan's stocks came under pressure amid escalating tensions in the Middle East and renewed skepticism over the AI trade. 

    The Nikkei 225 Stock Average decreased 0.5%, and the broader TOPIX edged higher by 0.3% as investors feared prolonged supply chain disruptions in the Strait of Hormuz. 

    The Brent crude oil price rose 1.8% to $84.59 a barrel as the U.S. and Iran reimposed their dual blockade in the narrow passageway used by several oil-producing Gulf nations.  

    The sharp sell-off in advanced chipmakers in overnight trading in New York also weighed on the market sentiment amid renewed worries that the current level of AI infrastructure investment is likely to end faster than previously expected. 

    Moreover, investors are worried that the latest run in AI-related stocks is way ahead of market fundamentals, and future corporate earnings are likely to level off or fall off sharply as hyperscalers cut their investment spending. 

     

    Japan Indexes and Stocks

    The Nikkei 225 Stock Average decreased 0.5% to 66,919.40, and the broader TOPIX advanced 0.3% to 4,018.51. 

    Kioxia Holdings declined 3.3% to ¥64,870.0, Taiyo Yuden dropped 4.6% to ¥11,350.0, Murata Manufacturing decreased 4.4% to ¥8,665.0, and Fujikura Ltd. fell 6.4% to ¥4,695.0. 

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