Nikkei closes stable, Advantest shares decline amid profit-taking

Japan’s Nikkei average closed nearly flat on Tuesday, giving up most of its early gains as investors sold shares of chip heavyweight Advantest to book profits.

According to Reuters, the Nikkei closed trading up 0.01% to 39,239.52 points. The index jumped as much as 0.5% to an unprecedented level of 39,426.29 points earlier in the session.

The performance of chip-related stocks was a key component that pushed the Nikkei past its all-time high set on the last trading day in 1989.

Advantest shares, which manufacture chip testing equipment, gave up early gains to fall 2.12%, which had the greatest impact on the Nikkei index. Fast Retailing, which owns the Uniqlo clothing brand, also fell 0.3%.

At the same time, shares of chip equipment manufacturer Tokyo Electron rose 0.72%, and shares of SoftBank Technology Investment Group increased 2.44%.

The banking sector rose 1.69%, which led the broader Topix index to rise 0.18% to close at 2,678.46 points.