Global Market: Japan’s Nikkei plunges over 4% as chip stocks track global tech selloff

Japan's Nikkei plunged 4.34% to 62,112.91 and the Topix fell 2.76%, led by a global selloff in AI-related and technology stocks. The selloff followed a 4.9% drop in Nvidia and a 2.2% decline in the Philadelphia Semiconductor Index, while South Korea's KOSPI plunged 9%. Japanese chip-related stocks were hit hard, with Kioxia sliding 18% and Advantest and Tokyo Electron each falling around 10%, as concerns over aggressive AI spending by global tech companies weighed on valuations. The Nikkei is now down more than 14% from its mid-June record high, with broad market weakness extending to financial stocks.