Japan's Nikkei Stock Average fell for the first time in four trading days on Thursday, 12 November, closing down 429.23 yen, or 0.70%, at 60,819.36. Selling spread across semiconductor and AI-related shares after reports that Nvidia's board is preparing to dismiss chief executive Jensen Huang, dragging down suppliers across Asia.

The Nikkei had risen as much as 539.85 yen to 61,788.44 in the morning before turning lower in the afternoon, at one point falling 604.80 yen to 60,643.79. Advantest and Ibiden, both seen as major Nvidia suppliers, were sold from the morning session, and Tokyo Electron and SoftBank Group trimmed gains or turned negative in the afternoon. The broader TOPIX, by contrast, rose 7.94 points, or 0.20%, to 3,937.33, its fourth straight gain, with advancers accounting for about 60% of all issues.

Taiwan and Korea hit hardest

The selling was sharpest where chipmakers dominate. Taiwan's Taiex dropped 2.63%, South Korea's Kospi fell 0.6% and China's Shenzhen Component lost 1.68%, while Australia's ASX 200 closed 32 points lower, or 0.35%, after a 3.6% run over the previous five sessions. US Nasdaq futures were also soft in after-hours trading as investors waited for Nvidia's earnings next week.

Japan data offers some support

There was some offsetting domestic news: the Bank of Japan said producer prices rose 0.7% on the month in October. But with Nvidia's future in the balance, traders stayed cautious, and the market's next cue is likely to be US producer price data due on Friday. The Edge's Asia market wrap put the Nikkei's fall in the same frame, with six of seven finished Asian indices lower on the day.