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Nikkei Falls 6.2% Into Bear Market After AI Stock Selloff
Why is the Nikkei down today?
Japan's Nikkei 225 (^N225) fell 6.2% to 57,320 on Friday in an AI stock selloff, as fears of tighter US data center rules after Democratic midterm wins pushed it into a technical bear market.
Key numbers
| Nikkei 225 close | 57,320.01-6.2% on Friday |
|---|---|
| SoftBank Group (9984.T) | -11%Friday, AI-stock selloff |
| Nasdaq Composite | 24,315-5.5% on Thursday |
| Philadelphia Semiconductor Index | -12%+Worst day since Mar 2020 |
| Kospi (South Korea) | Below 5,000-8% intraday; trading halted |
What happened
Japan's Nikkei 225 (^N225) fell 6.2% to 57,320 on Friday in an AI stock selloff, as fears of tighter US data center rules after Democratic midterm wins pushed it into a technical bear market. SoftBank Group (9984.T), a major AI investor, dropped about 11%. On Thursday, Wall Street's Nasdaq fell 5.5% and a chip-maker index lost over 12%, its worst day since March 2020. A bear market means a fall of more than 20% from a recent high.
Why it matters
The Nikkei 225, Japan's main stock index, shows how quickly worries about AI spending can spread across the world. Japan's market leans on AI-linked firms such as SoftBank and chip equipment makers, so doubts about AI hit it hard. Investors are asking whether huge spending on AI data centers will pay off, and that can ripple into funds that hold these shares.
Who this affects
- MarketbearishHigh impact
- Global tech and chip investors face sharp losses.
- CompanybearishHigh impact
- SoftBank shareholders hit by a double-digit one-day drop.
- CompetitorsbearishHigh impact
- Japanese chip firms like Advantest and Kioxia fell too.
- IndustrybearishHigh impact
- AI infrastructure makers face doubts over future data center demand.
Nikkei 225 vs Kospi, S&P 500, Nasdaq
| Nikkei 225^N225 | 57,320 | -6.2% |
|---|---|---|
| Kospi^KS11 | Below 5,000 | -7% or more (intraday) |
| S&P 500^GSPC | 7,354 | -4.4% (Thu) |
| Nasdaq Composite^IXIC | 24,315 | -5.5% (Thu) |
As of 2026-11-06
How we got here
Wall Street rout: Nasdaq falls 5.5%, S&P 500 falls 4.4%, chip index drops over 12%.
Nikkei closes down 6.2% at 57,320.01, more than 20% below its June peak.
Kospi falls below 5,000 and trading is halted briefly by a circuit breaker.
What to watch
- Whether Tokyo's chip and AI stocks keep falling when markets reopen on Monday.2026-11-09
- Any US moves on data center rules after the Democratic midterm wins.Q4 2026
- Whether Wall Street's chip stocks steady after Thursday's drop of more than 12%.2026-11-06
Educational content only. Not investment advice.
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