Nikkei 225 — daily market movers
Macro backdrop
The Nikkei 225 closed at 66,311.93, down 93.63 points (-0.14%), while TOPIX rose 0.23% to 4,156.29. The index opened down 737 points and fell as low as 64,832.10 intraday, breaking below the psychological 65,000 level for the first time in four sessions, before short-covering in futures and a recovery in Korea's KOSPI cut the loss into the close. The drivers were Friday's US tech selloff and rising long-term rates in both Japan and the US, which hit semiconductor and AI names hardest. Twenty-two sectors rose, led by electric power and gas, mining, and oil and coal products; nine fell, led by air transport, securities, and marine shipping. The macro trigger came from Friday's Jackson Hole speech by Fed Chair Warsh, who strongly signalled the possibility of a rate hike: September hike expectations jumped, US long yields spiked, USD/JPY broke above 160, and gold futures dropped to around $4,520/oz. That continued into Tokyo hours on the 31st, with domestic gold futures opening 625 yen/gram lower and crude oil extending gains on fears of escalating US-Iran conflict.
Top 10 gainers
| # | Ticker | Company / business | Change | Likely Driver |
|---|---|---|---|---|
| 1 | 5301.T | Tokai Carbon Graphite electrodes and carbon black, plus high-purity graphite parts for semiconductor equipment | +7.70% | No confirmed same-day catalyst. Likely a rebound from an oversold level, helped by the 3.93% share cancellation announced on 24 August still supporting the stock. |
| 2 | 9503.T | Kansai Electric Power Japan's second-largest utility, with the highest nuclear share in its generation mix | +7.58% | Electric power and gas was the day's best-performing sector. No confirmed same-day news; the move looks like continuation of the corporate tariff-hike and data-centre power-demand theme running since 19-20 August. |
| 3 | 6473.T | JTEKT Toyota-group maker of steering systems, bearings and machine tools | +5.68% | Technical rebound: the stock broke back above its 25-day moving average and cleared the Ichimoku cloud after correcting from its 31 July peak. |
| 4 | 4506.T | Sumitomo Pharma Drugmaker focused on CNS, oncology and regenerative medicine | +4.65% | No specific same-day news identified. Sell-side consensus target price was raised over the past week, and the stock has been in an uptrend since a large gain on 20 August. |
| 5 | 285A.T | Kioxia Holdings World's number-three NAND flash memory maker, formerly Toshiba Memory | +4.36% | Second-largest positive contributor to the index. Memory and storage names decoupled from the sell-off in semiconductor production equipment, with the AI data-centre NAND demand story still intact. |
| 6 | 6326.T | Kubota Farm machinery, compact construction equipment and water infrastructure | +3.75% | Coincided with USD/JPY breaking above 160, which supports exporter earnings; no company-specific news found. |
| 7 | 1963.T | JGC Holdings EPC contractor for LNG and large-scale energy plants | +3.54% | Likely tied to the continued rise in crude oil on US-Iran escalation fears, which lifts expectations for energy capital spending. |
| 8 | 5803.T | Fujikura Optical fibre cable and data-centre interconnect components | +3.07% | Fourth-largest positive contributor to the index. The optical-cable and data-centre complex held up while semiconductor equipment names were sold. |
| 9 | 5801.T | Furukawa Electric Electric wire, optical fibre and automotive wiring harnesses | +3.00% | Moved in step with Fujikura and Sumitomo Electric as part of the same data-centre cabling and power-transmission theme; no standalone catalyst. |
| 10 | 5019.T | Idemitsu Kosan Japan's second-largest oil refiner and marketer, plus petrochemicals and resources | +2.94% | Oil and coal products was among the day's leading sectors as crude extended gains on US-Iran conflict concerns. |
- 1. 5301.T+7.70%Tokai CarbonGraphite electrodes and carbon black, plus high-purity graphite parts for semiconductor equipmentNo confirmed same-day catalyst. Likely a rebound from an oversold level, helped by the 3.93% share cancellation announced on 24 August still supporting the stock.
- 2. 9503.T+7.58%Kansai Electric PowerJapan's second-largest utility, with the highest nuclear share in its generation mixElectric power and gas was the day's best-performing sector. No confirmed same-day news; the move looks like continuation of the corporate tariff-hike and data-centre power-demand theme running since 19-20 August.
- 3. 6473.T+5.68%JTEKTToyota-group maker of steering systems, bearings and machine toolsTechnical rebound: the stock broke back above its 25-day moving average and cleared the Ichimoku cloud after correcting from its 31 July peak.
- 4. 4506.T+4.65%Sumitomo PharmaDrugmaker focused on CNS, oncology and regenerative medicineNo specific same-day news identified. Sell-side consensus target price was raised over the past week, and the stock has been in an uptrend since a large gain on 20 August.
- 5. 285A.T+4.36%Kioxia HoldingsWorld's number-three NAND flash memory maker, formerly Toshiba MemorySecond-largest positive contributor to the index. Memory and storage names decoupled from the sell-off in semiconductor production equipment, with the AI data-centre NAND demand story still intact.
- 6. 6326.T+3.75%KubotaFarm machinery, compact construction equipment and water infrastructureCoincided with USD/JPY breaking above 160, which supports exporter earnings; no company-specific news found.
- 7. 1963.T+3.54%JGC HoldingsEPC contractor for LNG and large-scale energy plantsLikely tied to the continued rise in crude oil on US-Iran escalation fears, which lifts expectations for energy capital spending.
- 8. 5803.T+3.07%FujikuraOptical fibre cable and data-centre interconnect componentsFourth-largest positive contributor to the index. The optical-cable and data-centre complex held up while semiconductor equipment names were sold.
- 9. 5801.T+3.00%Furukawa ElectricElectric wire, optical fibre and automotive wiring harnessesMoved in step with Fujikura and Sumitomo Electric as part of the same data-centre cabling and power-transmission theme; no standalone catalyst.
- 10. 5019.T+2.94%Idemitsu KosanJapan's second-largest oil refiner and marketer, plus petrochemicals and resourcesOil and coal products was among the day's leading sectors as crude extended gains on US-Iran conflict concerns.
Common Themes
Three threads run through the gainers. First, energy and upstream resources: Idemitsu and JGC both track the crude oil rally driven by US-Iran risk premium, and the same move lifted INPEX (+2.09%) and ENEOS (+1.13%) just outside the top ten. Second, power and infrastructure: Kansai Electric led, with TEPCO (+1.89%) and Chubu Electric (+1.14%) alongside it, combining defensive appeal in a rising-rate tape with a data-centre electricity-demand narrative. Third, the physical layer of data centres: Fujikura, Furukawa Electric and Sumitomo Electric (+1.88%) rose while semiconductor equipment was sold, a clear split between buying the wires and power and selling the tools and testers. JTEKT and Tokai Carbon look technically driven rather than news-driven, and no same-day catalyst could be confirmed for either.
Top 10 losers
| # | Ticker | Company / business | Change | Likely Driver |
|---|---|---|---|---|
| 1 | 5711.T | Mitsubishi Materials Japan's largest nonferrous group: copper smelting, precious metals and cemented-carbide tools | -6.57% | Gold's continued slide on rising rate-hike expectations hit precious-metals exposure hardest; domestic gold futures opened 625 yen/gram lower on the day. |
| 2 | 5631.T | Japan Steel Works Large forgings, plastics machinery and defence ordnance | -5.61% | Fell alongside the other defence names with no company-specific news found; appears to be theme-level profit-taking rather than a stock-level catalyst. |
| 3 | 6857.T | Advantest Global leader in semiconductor test equipment | -4.48% | Single largest drag on the index, subtracting roughly 381 points on its own, following Friday's 3.5% drop in the US SOX semiconductor index. |
| 4 | 5714.T | DOWA Holdings Nonferrous smelting, metals recycling and electronic materials | -3.82% | Same driver as Mitsubishi Materials and Sumitomo Metal Mining: the sharp fall in precious metal prices on hawkish Fed repricing. |
| 5 | 5713.T | Sumitomo Metal Mining Gold, copper and nickel mining and smelting, plus battery materials | -3.56% | Gold and copper price weakness feeds directly into earnings expectations for the most commodity-levered name in the group. |
| 6 | 7011.T | Mitsubishi Heavy Industries Diversified heavy industry: gas turbines, defence systems and energy plants | -3.38% | Dropped in lockstep with IHI and Japan Steel Works with no identifiable company news; consistent with multiple compression in high-multiple theme stocks as long rates rose. |
| 7 | 3086.T | J.Front Retailing Operator of Daimaru Matsuzakaya department stores and PARCO | -3.10% | Part of a broad decline in department stores and domestic retail, with Takashimaya (-2.37%) and Marui (-1.08%) also lower; no company-specific catalyst found. |
| 8 | 7013.T | IHI Aero-engines, solid rocket motors and industrial machinery | -3.04% | Fell with the rest of the defence heavy-industry group; no standalone news, so most likely theme-level de-risking. |
| 9 | 6920.T | Lasertec EUV photomask inspection systems, a near-monopoly niche | -2.89% | Named among the largest index drags, part of the same semiconductor equipment sell-off that hit Advantest, TDK and Murata. |
| 10 | 4568.T | Daiichi Sankyo Innovative drugmaker centred on antibody-drug conjugates | -2.83% | Cited among the day's biggest index drags alongside Chugai Pharmaceutical; long-duration pharma valuations came under pressure from rising domestic long-term yields. |
- 1. 5711.T-6.57%Mitsubishi MaterialsJapan's largest nonferrous group: copper smelting, precious metals and cemented-carbide toolsGold's continued slide on rising rate-hike expectations hit precious-metals exposure hardest; domestic gold futures opened 625 yen/gram lower on the day.
- 2. 5631.T-5.61%Japan Steel WorksLarge forgings, plastics machinery and defence ordnanceFell alongside the other defence names with no company-specific news found; appears to be theme-level profit-taking rather than a stock-level catalyst.
- 3. 6857.T-4.48%AdvantestGlobal leader in semiconductor test equipmentSingle largest drag on the index, subtracting roughly 381 points on its own, following Friday's 3.5% drop in the US SOX semiconductor index.
- 4. 5714.T-3.82%DOWA HoldingsNonferrous smelting, metals recycling and electronic materialsSame driver as Mitsubishi Materials and Sumitomo Metal Mining: the sharp fall in precious metal prices on hawkish Fed repricing.
- 5. 5713.T-3.56%Sumitomo Metal MiningGold, copper and nickel mining and smelting, plus battery materialsGold and copper price weakness feeds directly into earnings expectations for the most commodity-levered name in the group.
- 6. 7011.T-3.38%Mitsubishi Heavy IndustriesDiversified heavy industry: gas turbines, defence systems and energy plantsDropped in lockstep with IHI and Japan Steel Works with no identifiable company news; consistent with multiple compression in high-multiple theme stocks as long rates rose.
- 7. 3086.T-3.10%J.Front RetailingOperator of Daimaru Matsuzakaya department stores and PARCOPart of a broad decline in department stores and domestic retail, with Takashimaya (-2.37%) and Marui (-1.08%) also lower; no company-specific catalyst found.
- 8. 7013.T-3.04%IHIAero-engines, solid rocket motors and industrial machineryFell with the rest of the defence heavy-industry group; no standalone news, so most likely theme-level de-risking.
- 9. 6920.T-2.89%LasertecEUV photomask inspection systems, a near-monopoly nicheNamed among the largest index drags, part of the same semiconductor equipment sell-off that hit Advantest, TDK and Murata.
- 10. 4568.T-2.83%Daiichi SankyoInnovative drugmaker centred on antibody-drug conjugatesCited among the day's biggest index drags alongside Chugai Pharmaceutical; long-duration pharma valuations came under pressure from rising domestic long-term yields.
Common Themes
The losers split into three clusters. The cleanest is precious metals and nonferrous: Mitsubishi Materials, DOWA and Sumitomo Metal Mining were all hit by the same driver, as hawkish Fed repricing pushed gold sharply lower and fed straight through to mining and smelting earnings expectations. The second is semiconductor equipment and inspection, where Advantest and Lasertec, along with TDK (-2.78%), Murata (-2.78%) and DISCO (-2.07%) just outside the list, followed the US SOX index lower. The third is the defence heavy-industry trio of Japan Steel Works, Mitsubishi Heavy and IHI, which fell together with no confirmed news of any kind; this looks like valuation compression and profit-taking in a high-multiple theme as long rates rose, rather than anything company-specific. J.Front and Daiichi Sankyo were each part of broader sector declines (department stores and pharmaceuticals respectively) with no stock-level catalyst identified.
Overall read
Money rotated out of long-duration, high-multiple theme stocks — AI semiconductor equipment, defence, and precious metals — and into cash-generative real assets: power utilities, oil, energy EPC, and the cabling and electricity layer beneath data centres. The index fell only 0.14% while TOPIX rose, which argues this was a rates-and-commodities-driven style rotation rather than systemic risk-off: the selling concentrated in a handful of mega-weights, with Advantest alone accounting for roughly 381 index points, while the buying was spread across mid-cap value names. Worth noting that USD/JPY breaking 160 supported autos (Nissan +2.34%, Isuzu +2.67%, Suzuki +2.63%) and export machinery but did nothing for semiconductor equipment, suggesting what is weighing on that group is the demand narrative and rates rather than FX.