TOKYO, Oct 27 (Reuters) - Japan's Nikkei share average rebounded on Tuesday after optimism returned to the AI sector following a filing by industry bellwether Anthropic to list its shares.
The benchmark Nikkei 225 advanced 1.73% to close at 63,268.37, paring an earlier gain of more than 2%. The broader Topix rose 0.61% to 3,997.37.
Anthropic disclosed steep losses and red-hot revenue growth in its filing for a US initial public offering, laying out its ambition to build AI systems capable of reshaping the global economy despite the high costs of developing the technology. The tech-heavy Nikkei tends to move in tandem with the US Philadelphia chips index, which rose 2.8% overnight.
"The market was relieved by the news about Anthropic's IPO, while heavyweight technology stocks tracked a rise in the US chip index," said Daisuke Hashizume, senior strategist at Daiwa Securities. Even so, investors remain "cautious about actively buying stocks ahead of earnings of US hyperscalers such as Alphabet and Microsoft this week."
Chip-testing equipment maker Advantest surged 8.98%, giving the Nikkei its biggest boost. Technology investor SoftBank Group rose 4.95%. Chip-making equipment maker Tokyo Electron added 3.07%.