Global Markets | Japan's Nikkei rises as AI-related stocks shine; companies on China export control list mixed

Japan's Nikkei share average rose on Tuesday as trading resumed after a long holiday weekend, with AI-related stocks rallying ‌on expectation ⁠of ⁠further investment in AI infrastructure after a report of a possible Nvidia-OpenAI deal.

The Nikkei rose 0.92% by 0415 ​GMT, while the Topix edged up 0.17%.

"Although it is still a speculation, investors reacted to the ​news about Nvidia and ⁠OpenAI. Expectations ‌for growth in AI infrastructure grew," ​said ​Naoki Fujiwara, a senior fund manager at ⁠Shinkin Asset Management.


Nvidia is close to ​finalising a $30 billion investment in OpenAI as ​the chipmaker moves to take a stake in one of its largest customers, Reuters reported last week.

Fibre-optic cable makers jumped, with Furukawa Electric surging 15%.

China added Japanese ‌companies to a list of export controls aimed at curbing what it termed ​Japan's "remilitarisation," leading to ​a mixed ⁠reaction in shares of firms on the list.

Mitsubishi Materials rose 3.8%, while electronic components manufacturer TDK ​inched up 0.15%. Hino Motors was flat.

The news sent Japanese defence stocks sharply lower, with Mitsubishi Heavy Industries down 3.5% and IHI tanking nearly 6.8%.