Nikkei, Topix, CSI 300: The Japanese stock market is rising again after losses the day before

The Nikkei and Topicx are recovering after the previous day's heavy losses. However, investors remain cautious ahead of the upcoming reporting season and the US midterm elections.

Tokyo, Beijing. Asian stock markets largely rebounded on Friday after the sharp selloff in technology stocks.

In Tokyo, the Nikkei index, which includes 225 stocks, rose 1.7 percent to 65,496 points.

The broader Topix closed 1.7 percent higher at 4,066 thanks to firmer bank stocks.

The Shanghai stock exchange gained minimally to 3716 points.

The CSI 300 index with the 300 most important Chinese companies on the mainland stock exchanges ended the day almost unchanged at 4,170 points.

On a weekly basis, however, both the Nikkei and the Topix lost as investors threw technology stocks out of their portfolios due to increasing doubts about the financing costs for artificial intelligence. "Stocks rebounded as investors bought back in after sharp losses the previous day. There were no other reasons for the gains," said Daisuke Hashizume, senior strategist at Daiwa Securities.

The shares of the chip supplier Tokyo Electron rose by around two percent, those of the memory chip manufacturer Kioxia by more than three percent and those of the technology investor SoftBank Group by 1.3 percent.

US Federal Reserve Chairman Kevin Warsh said on Friday at the annual meeting of the International Monetary Fund (IMF) and the World Bank in Bangkok that he was optimistic about the impact of AI. He believes it will transform the real economy, but its short-term impact on employment is uncertain.