Nikkei Rises 1.1% as Advantest's Upgraded Earnings Outlook Lifts Chip Stocks

Japan's stock market closed higher on Thursday, October 29, with chip-related shares leading the advance.

The Nikkei 225 index gained 1.1% to finish at 64,659.47 points.

Chip testing equipment maker Advantest raised its earnings guidance, serving as the primary driver behind the market's rally.

Currently, technology companies in Japan, South Korea, and the United States are entering a dense earnings season, with the performance of the artificial intelligence and semiconductor sectors becoming the focal point of market attention.

Strong results released on Wednesday by South Korean memory chip giant SK Hynix also provided support for Japanese chip stocks.

However, earnings performances among technology companies have been mixed.

South Korea's Samsung Electronics saw its shares fall sharply despite reporting record profits.

On the U.S. side, Alphabet came under pressure in after-hours trading due to market concerns over its massive cash expenditures, while Microsoft's cash flow performance exceeded expectations.

Overall, technology company earnings remain a significant factor driving Asian stock markets, and investors are closely watching whether artificial intelligence demand can continue to translate into corporate profits.