Nikkei Rises 1.23% on Chip Stocks, Pre-Dividend Buying

Japan’s stock market advanced on Friday, with the Nikkei index rising 1.23% to close at 66,318.14. The broader Topix index gained 1.19%, ending at 4,123.73.

Semiconductor Shares Lead Gains

Shares linked to artificial intelligence and semiconductor manufacturing posted strong gains, contributing significantly to the upward momentum. Tokyo Electron and Advantest—both key players in chip equipment production—rose 4.04% and 2.45%, respectively, delivering the largest individual boosts to the Nikkei.

Pre-Dividend Buying Activity

Investors increased purchases ahead of Monday’s ex-dividend date for semi-annual payouts, a timing factor cited by Daiwa Securities’ chief strategic analyst Daisuke Hashizumi. He noted that while dividend eligibility motivated some trading, demand for semiconductor-related equities played a more decisive role in supporting the market.

Sector Performance

Banking stocks—typically among the highest dividend distributors—outperformed all 33 sector sub-indices on the Tokyo Stock Exchange, surging 3.23%. Among the more than 1,500 issues traded on the exchange’s main board, 68% advanced, 27% declined, and 3% remained unchanged.