The Japanese stock market on the 31st should pay attention to the rough fluctuations after the Bank of Japan's monetary policy meeting results. On the 30th, the US market saw the Dow Jones Industrial Average rise by 203 points, while the Nasdaq fell by 222 points. Active trading was held back ahead of the Federal Open Market Committee (FOMC). Kanto sensitive stocks were bought due to expectations of a soft landing, as consumer confidence and June's Job Openings and Labor Turnover Survey (JOLTS) in the United States exceeded expectations. On the other hand, ahead of earnings announcements from large tech stocks, selling of high-tech stocks by investors with large holdings was prevalent. The Chicago Nikkei 225 futures settlement value was 38,105 yen, down 385 yen from Osaka. The yen is trading at around 152.80 yen against the dollar.
From the selling of soybeans through Chicago futures, it looks likely to start with selling. Microsoft, which announced its earnings after the trading session, was angered by Azure's slowdown and fell more than 5% in after-hours trading at one point. On the other hand, AMD is up nearly 8% as its expected revenue exceeded expectations. The mood seems to be to wait and see the earnings announcements of US high-tech stocks that are starting to take off.
In addition, in the morning session, there is likely to be a wait-and-see attitude as investors want to determine the results of the Bank of Japan meeting. In the foreign exchange market, the news of additional rate hikes caused the dollar to fluctuate around 152 yen. Therefore, initial movements after the announcement of the results may be greatly turbulent. In addition, Nvidia has fallen more than 7%, clearly breaking the support line of the 75-day moving average. As the adjustment phase of Nvidia intensifies, it is likely to become a heavy burden on high-tech stocks with significant index impact.
The Nikkei 225 futures fell as low as 37,890 yen in night trading. Amid the yen's appreciation, and as Israel reportedly bombed the Lebanese capital, geopolitical risks are being monitored. If the risk-aversion attitude becomes stronger, there is a possibility that selling due to readjustment of investor holdings may increase ahead of the Bank of Japan meeting results. In the midst of being easily swayed by buying and selling related to indices, the focus may shift to individual stocks with earnings as the basis. Three-S Trust <8309>, Carmate <7297>, Maas GHD <6419>, Ideal Science <6413>, Shimano <7309>, Hyper <3054>, Kissei Pharmaceutical <4547>, Corona <5909>, NEC <6701>, TDK <6762>, etc. are among the companies attracting attention, according to yesterday's announcement.