In the morning session four days ago, three points should be paid attention to:

Market expectations for the future are high despite thin trading.

ABC Mart's Q1 operating profit increased by 9.0% to ¥18.4 billion.

Sun Corp plans to increase its production capacity of electric vehicle distribution parts in the US by five times by 2027.

Market expectations for the future are high despite thin trading.

On Japan's stock market on the 4th, after starting with a buy, it seems that the market will develop with strong expectations of a rise despite thin trading. In the US market on the 3rd, the NY Dow was down 23 points and the Nasdaq was up 159 points. The market was supported by weak labor-related indicators announced in the morning and a decrease in long-term US interest rates. Because it was a pre-Independence Day holiday and a shortened trading session, the mood was sluggish during the day, and after the close of trading, while the FOMC minutes for June's Federal Open Market Committee meeting and the announcement of June's employment statistics on the 5th were approaching, the NY Dow fell slightly. The Nasdaq Index, which was pushed up by the rise of Tesla and Nvidia, remained strong, setting a new high at the end of trading. Chicago Nikkei Average futures were 60 yen higher than Osaka at 40,660 yen. The dollar is trading at around 161.60 yen.

As a result of settling into a position that attracts soy to Chicago futures, it is expected that buying will take the lead. The Nikkei 225 futures fell to 40,490 yen in the night session, but rebounded and rose to 40,730 yen. Even after the close of trading in the US market, it continued to trade in a high-priced, neck-and-neck battle. After a round of buying, profit-taking selling related to the previous day's rise is likely to enter. Nevertheless, the willingness to buy in anticipation of a strong trend is considered to be strong. In the limited flow of foreign funds, it is easy to be swayed by the trades of short-term traders. The Nikkei Stock Average has caught +3σ of the Bollinger Bands with yesterday's rise, and is in a situation where overheating is easily monitored. If the heaviness of the upside becomes more apparent, it is thought that high-impact values, such as high-tech stocks, will be susceptible to tactical selling. Therefore, while the Nikkei Stock Average is likely to continue in the neck-and-neck battle around 40,500 yen after a round of buying, it may be a good idea to wait for a pullback.

In the limited flow of foreign funds, it is easy to be swayed by the trades of short-term traders. The Nikkei Stock Average has caught +3σ of the Bollinger Bands with yesterday's rise, and is in a situation where overheating is easily monitored. If the heaviness of the upside becomes more apparent, it is thought that high-impact values, such as high-tech stocks, will be susceptible to tactical selling. Therefore, while the Nikkei Stock Average is likely to continue in the neck-and-neck battle around 40,500 yen after a round of buying, it may be a good idea to wait for a pullback.

There is a possibility that the results of the US employment statistics may be weak due to the results of the ADP employment statistics, which could lead to expectations of an interest rate cut by the FRB. In addition to Tesla's daily significant increase, Nvidia has risen more than 4%, and Arm Holdings has risen nearly 3%. While Apple is updating its all-time high, there is a strong interest in high-tech stocks such as AI and Apple-related products in the Tokyo market. Although it is a thin market, there is a market development where steadiness is being emphasized.

ABC Mart's Q1 operating profit increased by 9.0% to ¥18.4 billion.

ABC Mart's Q1 sales increased by 8.6% to ¥96.215 billion, and operating profit increased by 9.0% to ¥18.408 billion due to rising product prices. While it is becoming increasingly challenging for customers to be selective, high-value-added products such as practical and trendy products are seeing an increase in demand. In Japan, sales were strong in the Grand Stage and large commercial facilities centered around urban areas.

Materials of concern in the morning session

Nikkei Average rose (+506.07) to 40,580.76.

Nasdaq Composite rose (+159.54) to 18,188.30.

Chicago Nikkei Average futures rose to 40,660 yen, up 60 yen from the Osaka market comparison.

SOX Index rose (+106.73) to 5651.72.

US crude oil futures rose (+1.07) to $83.88.

Long-term US interest rates fell.

Expectations for inflation to ease in the US.

Request for improvement in corporate value by the Tokyo Stock Exchange.

Sun Corp plans to increase its production capacity of electric vehicle distribution parts in the US by five times by 2027.

NTT Data G experienced unauthorized access at its Romanian base.

Marubeni Corporation has formed a new company with Shogakukan for the overseas sales of Japanese manga goods.

Sumitomo Corporation sells airbags to its corporate restructuring fund, recording a loss of 5 billion yen this fiscal year. In terms of product structure, its operating revenue from 10-30 billion yen products are respectively 401, 1288, and 60 million yen.

YUASA SHOJI picks delicate molded objects with Thinker and robot development.

Rinnai updates its built-in stove, enhancing its automatic cooking function.

Nomi Bosai will demonstrate a shelter operation support application in Kasukabe City, Saitama.

MITSUBISHI HC CAPITAL agrees to a power supply contract with power-ex and onshore wind power groups.

Nara Hisashi, president of Yokogawa Electric, says that Africa is also attracting attention.

Fujifilm HD will provide 3D model generation services next year, accurately reproducing patterns and glossiness.

Densan System HD partners with Kibidango to promote tourism and regional development.

NTT Data Group offers unique LLM "Tsuzumi" after November.

Sekisui Chemical promotes comprehensive packaging proposals and expands cooperation involving AGVs (automated guided vehicles) and other labor-saving and personnel-saving initiatives.

Obayashi Corporation centralizes its power demand and supply estimates, effectively utilizing renewable energy and power.

Nippon Tokushu Togyo (NGK Insulators) accelerates support for emerging companies with hydrogen and carbon circulation pitching to Mitsubishi UFJ Bank.

Tokai Carbon acquires a US-based graphite processing company to strengthen its semiconductor equipment.

KH Neochem will raise the prices of its PM series products from the 8th of this month.

Mitsubishi Gas Chemical starts a project to decarbonize using methanol and collaborates with others.

Toyobo and Otsuka Chemical collaborate to develop separation membrane devices for refining antibody medicines.

Sumitomo Realty & Development Co., Ltd. will adopt EV charging as a standard in newly built condominiums from 2026.

Nomura Real Estate Holdings will redevelop the area around "Kenroku-en" in Kanazawa City.

Mitsui Chemicals sells its subsidiary's chemical trading company.

☆ Schedule of events in the morning session

Not applicable.

10:30 Australia's trade balance for May (estimated at AUD 6.328 billion, April: AUD 6.548 billion)