The Nikkei 225 Index fell 0.7% to below 54,000, while the broader Topix Index slipped 0.1% to 3,650 on Thursday, extending losses from the previous session amid a global tech selloff. Investors pulled back from technology shares over concerns about elevated valuations, heavy AI spending, and the potential disruption to traditional software business models. SoftBank Group dropped more than 6% after chip designer subsidiary Arm Holdings missed fiscal third-quarter licensing sales forecasts. Other tech names followed suit, including Kioxia (-6.8%), Advantest (-4.7%), Fujikura (-4.1%), and Diso Corp (-4.5%). Meanwhile, Panasonic surged as much as 15.2% despite lowering its full-year profit estimates due to rising restructuring costs, and Renesas Electronics gained 5% after announcing plans to sell its Timing business to SiTime for $3 billion.
