<div id="readability-page-1"><div> <p>Citi published a report stating that high-tech stocks, which have driven the Japanese equity market since April, saw a significant correction the day before yesterday (8th), leading to sharp declines in both the Nikkei Index and the TOPIX Index. The bank believes that this round of correction in the Japanese equity market, led by technology stocks, is unlikely to persist for long, and expects there to remain significant upside potential before year-end. Supporting factors include: (1) limited room for further increases in long-term US interest rates; (2) strong earnings momentum for AI and semiconductor-related stocks, with valuations not necessarily excessive; (3) solid earnings prospects for industries beyond AI and semiconductors; and (4) ample global liquidity, with corresponding funds expected to flow into the Japanese equity market. (ad/da)</p><p>AASTOCKS Financial News</p> </div></div>

<p>Citi reports that the recent correction in Japanese equities, driven by tech stocks, is unlikely to persist. The bank anticipates significant upside potential for the Nikkei and TOPIX before year-end, citing limited US long-term rate hikes, strong AI/semiconductor earnings momentum, solid prospects in other sectors, and ample global liquidity expected to flow into Japan.</p>

Citi: Japan Equities Correction Led by Tech Stocks, Unlikely to Persist for Long