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Nikkei Drops Amid Chip Stocks And Geopolitical Tension

Wall Street Journal Markets •
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Japanese stocks declined in early trading, extending losses from the previous session. The Nikkei average fell 0.2% as chip-related shares came under pressure. Trading houses also contributed to the downside.

Investors remained cautious amid escalating tensions in the Middle East. Higher energy costs added to the bearish sentiment. Market focus stayed on the potential impact of regional instability on global supply chains.