Japan's Nikkei 225 share average is on track to close the week in negative territory, extending a multi-day decline driven by investor caution over stretched technology valuations.
The benchmark index faced selling pressure on Friday, with the retreat in tech-heavyweights outweighing positive domestic economic data that had otherwise supported risk appetite earlier in the week.
99% to 69,779.01, a decline led primarily by AI-related heavyweights that tracked lower following global tech sector weakness.
The sell-off marks a continuation of the broader pullback in Asian equities, where confidence in artificial intelligence stocks has eroded significantly.
On Thursday, the Nikkei fell 0.99% to 69,779.01, a decline led primarily by AI-related heavyweights that tracked lower following global tech sector weakness.
This broad-based retreat in technology shares has weighed heavily on regional markets, with Asian equities opening lower on Thursday amid the same sentiment.
While positive economic signals from Japan provided some counterbalance, they were insufficient to halt the momentum against high-multiple growth names.