heavily on earnings far in the future. You could already see that split in the session: some AI- and chip-linked names held up, while other high-profile tech bellwethers lagged, even as the overall index move stayed small.
Why should I care?
For markets: A quarter-point BOJ hike can move SoftBank and Tokyo Electron more than the Nikkei.
Even if the headline hike is expected, the tone can still jolt individual stocks. If the BOJ signals it’s not done, investors often demand a higher return for owning equities, which pulls down valuations most for “long-duration” stocks – basically, companies priced for lots of growth later. That’s why AI-linked bellwethers like SoftBank Group and chip equipment maker Tokyo Electron can swing more sharply around the decision than firms tied to nearer-term spending, like cable and hardware suppliers Fujikura and Furukawa Electric or chip-testing equipment maker Advantest. In other words, a calm index day can still hide big rotations under the surface.