Tokyo:The Nikkei index in Japan reduced its earlier losses on Wednesday, while government bond yields experienced an increase following remarks from US President Donald Trump regarding the midterm elections. These remarks were considered less assertive than anticipated, leading investors to reverse their stock-selling and bond-buying strategies.
According to Qatar News Agency, the Nikkei closed with a decrease of 1.42 percent at 62,188.63 points. This followed a more significant drop of up to 4.8 percent earlier in the trading session, which marked the index's lowest point since May 20. The broader Topix index also saw a decline, falling 0.89 percent to 3,895.38 points.
During the session, stocks in Japan associated with artificial intelligence faced declines due to apprehensions that Democratic gains in the US elections might result in stricter regulations on data center projects and potentially slow spending on AI infrastructure. Meanwhile, the yield on 10-year Japanese government bonds increased by 3.5 basis points to 2.805 percent after an earlier dip to 2.77 percent. Additionally, the yield on 30-year Japanese government bonds rose by five basis points to 3.925 percent.