The Nikkei 225 eased 0.30% to 66,016.36 Friday to cap its worst week in over a month, even as TOPIX edged higher. Shipping stocks soared on Hormuz freight-rate expectations, July CPI kept a September BOJ hike in play, and the TSE short-selling ratio climbed to 42.7% — the top of its recent range.
Tokyo’s sell-off deepened Wednesday: the Nikkei 225 lost 3.16% to 65,326.42 as SoftBank Group fell 10.3%, super-long JGB yields pushed higher on BOJ rate-hike speculation, and the TSE short-selling ratio held at a defensive 39.0%.
The Nikkei 225 closed just 0.12% lower at 65,606.71 after recovering from a 1,000-point intraday drop driven by chip-related names. Breadth was positive, the short-sell ratio eased to 37.1%, and the yen gave back intervention gains at 158.45.
The Nikkei 225 fell 3.95% to 62,364.92 on Tuesday, its lowest close since May 21, as semiconductor names dropped double digits. Yet the short-selling ratio of 35.2% sat below its recent average, retail and auto stocks rallied, and the BOJ decision looms Friday.
Tokyo closed higher Thursday on renewed AI infrastructure optimism, with Advantest and SoftBank Group leading. Beneath the surface, the TSE short-sell ratio jumped to 43.2% of turnover and the Nikkei VI sits at a stressed 93rd percentile — a defensive tape wearing a bullish headline.
Tokyo returned from the long weekend buying what it had sold: the Nikkei 225 jumped 3.26% to 66,232.19 with Advantest and SoftBank Group leading, all 17 sectors advanced, and the TSE short-selling ratio fell to 31.9% — the least defensive reading in over a week.
The Nikkei 225 fell 4.03% to 64,141.12 on Friday as a global tech rout hit Japanese chip names, with SoftBank Group down 9% and Tokyo Electron down 8.2%. The TSE short-selling ratio, notably, sat at the low end of its recent range — pointing to long liquidation rather than fresh shorting.
The Nikkei 225 shrugged off a near-1,000-point intraday plunge to close up 0.74% at 67,743.50, as bargain-hunters overwhelmed early geopolitical selling. SoftBank, Advantest and the megabanks led the turn; the yen sat near 40-year lows at 162.34.
Short sales recently averaged around 38% of all Tokyo trading value — and that is normal. A practical guide to the TSE’s daily short-selling data: the two regulatory buckets, why a high ratio is not simply bearish, and how to cross-check it against weekly investor flows.