On May 28, reports revealed that as of May 23, foreign investors had engaged in net purchases of Japanese stocks for an unprecedented eighth consecutive week. This trend was primarily driven by a decline in oil prices and the robust performance of stocks related to artificial intelligence (AI). According to data from Japan's Ministry of Finance, foreign investors net purchased Japanese stocks valued at 1.08 trillion yen (approximately $6.77 billion) during that week, representing a nearly 14% increase from the previous week. The technology sector emerged as a focal point for investment, with related stocks experiencing significant surges. This was largely due to Nvidia's projection of a surge in demand for its AI chips. Notably, SoftBank Group, a major investor in AI, witnessed a 17.62% increase in its stock price, while chip design company Socionext saw its shares rise by 12.26%. Since the start of the year, foreign investors have injected nearly 11.7 trillion yen into the Japanese stock market, significantly surpassing the 742.1 billion yen invested during the same period last year. Meanwhile, as the bond-selling momentum waned, Japanese long-term bonds saw net purchases of 1.35 trillion yen, while short-term bonds experienced a reduction of 2.22 trillion yen, marking the highest level since March 28.
