Global Market: Japan’s Nikkei rises nearly 2% on AI optimism, Anthropic IPO filing

Japan’s Nikkei share average rose nearly 2% on Tuesday, supported by gains in artificial intelligence-related stocks after Anthropic disclosed plans for a US initial public offering and Wall Street’s semiconductor index advanced, Reuters reported.

The Nikkei climbed 1.91% to 63,374.45 as of 0142 GMT, after rising as much as 2.4% earlier in the session. The benchmark was on track to snap a three-session losing streak. The broader Topix index gained 0.61% to 3,997.09.

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Chip-testing equipment maker Advantest surged 10%, providing the biggest boost to the Nikkei. Technology investor SoftBank Group advanced 6.94%, while chipmaking equipment manufacturer Tokyo Electron rose 3.35%.

According to Reuters, investor sentiment improved following Anthropic’s IPO filing and a rally in US semiconductor stocks . The Philadelphia Semiconductor Index rose 2.8% overnight, supporting Japanese technology shares, which tend to move in tandem with the US chip index.

Anthropic’s filing disclosed steep losses alongside rapid revenue growth, highlighting the substantial costs of developing advanced artificial intelligence systems. The company aims to build AI technology capable of reshaping the global economy.

However, the broader market advance remained limited, suggesting investors were reluctant to make aggressive bets ahead of earnings from major US technology companies, Reuters reported.

Read more: Anthropic takes AI test with filing for Wall Street debut

Daisuke Hashizume, senior strategist at Daiwa Securities, said investors were cautious ahead of results from US hyperscalers, including Alphabet and Microsoft, due later in the week.

On the Tokyo Stock Exchange’s Prime Market, 49% of more than 1,500 traded stocks advanced, while 47% declined and 2% were unchanged.

Drugmaker Daiichi Sankyo fell 6.53%, making it the biggest percentage loser on the Nikkei and the stock that weighed most heavily on the benchmark.

Investors will monitor upcoming US technology earnings for further signals on artificial intelligence spending and semiconductor demand, which could influence the direction of Japanese technology stocks.