Particle.news
Download on the App Store

Nikkei Rebounds From Sharp Early Drop After U.S. Tech Rout Tied to Alphabet Plan

A weaker yen linked to expectations for looser fiscal policy before the lower‑house vote is keeping volatility high.

Overview

  • The Nikkei briefly fell more than ¥800 and dipped below 53,000 at the open, then reversed to a morning close up ¥255.48 at ¥54,073.52 as the TOPIX rose 26.54 to 3,678.95.
  • Selling followed a Feb. 5 U.S. decline after Alphabet outlined up to $185 billion in 2026 AI capital spending, pressuring major tech names and pulling the Dow down 592.58 points.
  • Semiconductor and other high‑valuation Japanese shares led early losses before buying in companies with favorable earnings outlooks helped lift the market.
  • The yen traded in the mid‑156 to 157 per dollar range as reports of a likely ruling‑party advantage and expectations of continued expansionary policy drove yen selling.
  • Traders also cited reports of renewed U.S. strong‑dollar signals as a factor supporting dollar demand, keeping cross‑market downside risks in focus.