The Nikkei average continued to rise, ending morning trading at 39,001.39 yen (+0.51% or 196.74 yen higher than the previous day), with an estimated volume of 730 million shares. In terms of product structure, operating income from products worth 10-30 billion yen was 4.01/12.88/0.06 billion yen respectively.
On the 24th, the US stock market was mixed. The Dow Jones Industrial Average rose by 260.88 points (+0.67%) to 39,411.21, while the Nasdaq fell by 192.54 points (-1.09%) to 17,496.82, and the S&P 500 fell by 16.75 points (-0.31%) to 5,447.87. There wasn't much news, and the opening was mixed. The Dow was supported by buying in economically sensitive stocks and underperforming stocks, such as banks and energy stocks. The Nasdaq fell again last week, as semiconductor stocks like Nvidia were sold.
Due to the mixed results of the US stock market, the Tokyo market started trading with little movement. After the opening, semiconductor-related stocks weakened due to the fall of US high-tech stocks. However, financial stocks rose due to the new 10-year national bond yield, which is an indicator of long-term interest rates, rising to 0.995%. TOPIX showed a strong movement relatively, as large market capitalization stocks were bought, and the Nikkei also rose gradually and recovered to the 39000 yen level.
Among the stocks listed in the Nikkei Average, non-life insurance stocks such as MS&AD (8725), SOMPO Holdings (8630), and Tokio Marine Holdings (8766) rose due to the decision to raise auto insurance premiums. Financial stocks such as Rissho Holdings (8308), Concordia Financial Group (7186), Fukuoka Financial Group (8354), and Sumitomo Mitsui Financial Group (8316) were generally bought due to the rise in long-term interest rates. Toyota Motor (7203), IHI (7013), and Hitachi (6501) also rose.
On the other hand, semiconductor stocks such as Laser Tech (6920), Tokyo Electron (8035), Renesas Electronics (6723), and Screen HD (7735) fell due to the decline of the Philadelphia Semiconductor Stock Index (SOX Index) and Nasdaq. Apple-related stocks such as Murata Manufacturing (6981), Alps Alpine (6770), TDK (6762), and Taiyo Yuden (6976) were also generally down.
In terms of industry, banking, insurance, securities and commodity futures trading, transportation equipment, and mining rose, while only pulp and paper fell.
The exchange rate is in the range of 159.30 yen to the dollar, and the yen's depreciation and dollar's appreciation have stalled. It was observed that the government and Bank of Japan intervened to buy yen when it briefly fluctuated to around 158.80 yen to the dollar last night, but it was considered to be due to system trading. However, the possibility of sudden exchange rate fluctuations is very high, so actively buying and selling Japanese stocks is thought to be held back and the low trading volume in the prime market is expected to continue. As long-term interest rates are also rising, the latter half of the day is likely to be focused on exchange rates and bond markets, with the estimated assumption of a tug of war around the 39000 yen level.