Japan's Nikkei 225 index rebounded on January 29, closing 1% higher at 39,414.78, snapping a three-day losing streak. The broader Topix index also gained 0.7% to 2,775.59. The recovery followed Wall Street's rally, driven by a rebound in AI-linked tech shares such as Nvidia, which had suffered losses earlier in the week. Japanese chip-related stocks, including Advantest, Tokyo Electron, and Renesas Electronics, saw strong gains, with Advantest rising 4.4% and Renesas jumping 5.9%. Other notable performers included Fast Retailing, which rose 1.3%, and Sony Group, which climbed 3.8%, while Shin-Etsu Chemical fell 4.3%. Investors are closely watching U.S. tech earnings, including Microsoft, Tesla, and Meta, as well as the Federal Reserve's upcoming monetary policy decision, which is expected to maintain interest rates. The market remains cautious following the disruption caused by Chinese startup DeepSeek's low-cost AI model, which has raised questions about the spending strategies of U.S. tech giants. Additionally, the Fed's commentary on the timing of future rate cuts is anticipated to influence market sentiment.