Japan's Nikkei rises on sharp Advantest gains

Japan's Nikkei share average rose on Thursday, driven by sharp gains in Advantest after the chip-testing equipment maker raised its annual profit forecast, while banks ‌dragged ⁠the broader ⁠Topix lower.

The Nikkei was up 0.81% at 61,934.03 as of 0050 GMT, while the Topix fell 0.81% to 3,941.8.

Advantest jumped 10% after raising its annual operating profit forecast by 35% ⁠on Wednesday ‌as AI spending drives demand for its chip-testing equipment.


"Thanks to Advantest's ⁠tremendous outlook, shares in other chip-related stocks rose," said Kazuaki Shimada, chief strategist at IwaiCosmo Securities.

Chip-making equipment maker Tokyo Electron rose 4.3%. Memory maker Kioxia jumped 11%.

Mitsubishi UFJ Financial Group and Sumitomo Mitsui Financial Group ‌lost 2.58% and 1.8%, respectively.

"This is a typical trend in recent sessions where ⁠AI-related shares are strong, value shares such as banks are sold off," said Shimada.

Of the more than 1,500 stocks trading on the Tokyo Stock Exchange's prime market, 14% rose, 84% fell and 1% traded flat.