FX.co ★ Japanese Shares Fall on Tech Losses

The Nikkei 225 Index fell 1% to around 68,300 on Friday, marking a third straight session of losses and tracking an overnight selloff in US technology shares. Sentiment toward the broader artificial intelligence sector deteriorated after concerns emerged about OpenAI’s revenue outlook.

New reports indicated that OpenAI’s annualized revenue was about $50 billion at the end of September, well below the roughly $68 billion figure widely cited last month. This has sharpened investor focus on whether AI-related income can keep pace with the sector’s heavy capital spending, a key question given the prominent role Japanese companies play in building global AI infrastructure.

Among the session’s notable laggards were Advantest (-2.3%), Kioxia Holdings (-4.3%), SoftBank Group (-7.1%), Fujikura (-3.5%), and Murata Manufacturing (-3.6%).

Separately, data showed that Japan’s personal spending fell for a ninth consecutive month in August, as persistent inflation continued to erode consumer demand.