FX.co ★ Japanese Shares Fall as Kioxia Drags

The Nikkei 225 Index fell 0.33% to close at 63,082 on Monday, extending the previous session’s decline, after memory chipmaker Kioxia Holdings delivered a cautious outlook that fueled worries that AI-driven demand growth may be starting to cool.

Kioxia shares sank 15.8% after the company forecast operating profit of ¥2 trillion for the December quarter, barely above the prior quarter’s ¥1.99 trillion and signaling a marked deceleration from the robust earnings growth seen in recent quarters.

Screen Holdings also slumped 19%, as investors reacted negatively to the decision to leave full-year guidance unchanged despite record order intake and ongoing strength in the semiconductor equipment market.

Weakness was broad-based across technology names, with notable declines in Ibiden (-3.8%), Taiyo Yuden (-3%), and SoftBank Group (-1.6%).