Nikkei 225 Whipsaws Between 61,434 and 66,300 as Middle East War and Chip-Sector Slump Pull in Opposite Directions

Japan's Nikkei 225 swung from a July 29 close of 61,434 to 66,300 on August 5, then fell 648 points (0.98%) to 65,652 on August 7, per FRED and TradingEconomics data. Two forces drive the volatility: Middle East escalation pressuring risk appetite across Asia, and semiconductor earnings expectations outrunning consensus — AMD fell August 5 despite beating analyst estimates. Neither force shows clear signs of easing.