In the afternoon trading on the 8th, there are three points to pay attention to:

- The Nikkei average rose for the third consecutive day with volatile movements that rebounded from a drop of more than 800 yen. - The dollar-yen rebounded due to the rise in Japanese stocks. - Laser Tech <6920> was the top contributor to the rise, followed by Fast Retail <9983>. - The Nikkei average rose for the third consecutive day with volatile movements, rebounding from a drop of more than 800 yen. - The 10-year government bond yield, an indicator of long-term interest rates, has risen slightly to 0.895%. After falling to 0.75% on the 5th, it had been volatile, but it has finally settled down. Concerns over foreign investors selling Japanese stocks due to declining trust in the Bank of Japan have not been dispelled, so rough price movements led by futures are likely to continue in the near future. The Tokyo market in the afternoon is also expected to see rough price movements.

The dollar-yen rebounded due to the rise in Japanese stocks.

Six stocks, including Japan Information Create <4054> and Infonet <4444>, hit the daily limit high. Laser Tech <6920> was the top contributor to the rise, followed by Fast Retail <9983>.

- The Nikkei average rose for the third consecutive day with volatile movements that rebounded from a drop of more than 800 yen.

The Nikkei average has risen for the third day. It closed the morning session at 35,148.10 yen, an estimated volume of 1.2 billion shares, up 58.48 yen (+0.17%) from the previous day.

The US stock market fell on the 7th. The Dow Jones Industrial Average fell 234.21 points (-0.60%) to 38,763.45, the Nasdaq fell 171.05 points (-1.05%) to 16,195.80, and the S&P500 ended trading at 5,199.50, down 40.53 points (-0.77%). Buying back continued following the easing of concerns about an economic downturn, rising after the opening. After the buyback ended, selling pressure from uncertainty about the strong economy reignited, inhibiting upward movement. In the final phase, selling intensified, wary of the weak results of the 10-year bond auction, and the market turned down to close.

The Tokyo market started with a strong selling momentum following the US stock's decline and sudden rebound. After opening, the Nikkei average dropped to 34,207.16 yen, but then gradually decreased. It appears that buybacks became more dominant as market moves settled down, including currency and interest-rate markets. As the end of the morning session approached, the Nikkei average rebounded, with a price range of more than 1,000 yen, and became volatile today as well.

Among the Nikkei average-contracted stocks, shares of Laser Tech <6920> became the limit up material based on earnings reports and positive reports from securities companies. In addition, shares in Isuzu <7202>, which is expected to set up a framework for buybacks and earnings, rose sharply. Nitori Holdings <9843>, Asahi Group <2502>, Sumitomo Pharma <4506>, Idemitsu Kosan <5019>, Teijin <3401>, and Keisei Electric Railway <9009> were also bought. On the other hand, Sumco <3436>, which announced that its consolidated net profit for the first nine months of the year is expected to decrease by 73% compared to the same period last year, fell sharply and temporarily became the limit down. Also, Shiseido <4911> became the limit down, as its net profit for the first six months of the year decreased by 99% compared to the same period last year. Other companies such as Taiyo Nippon Sanso <6976>, Sumitomo Mining <5713>, Sumitomo Heavy Industries <6302>, Advantest <6857>, Softbank Group <9984>, and Keyence <6861> fell.

In terms of industry sectors, mining, petroleum and coal products, insurance, rubber products, and food products rose. On the other hand, metal products, nonferrous metals, wholesale trade, securities and commodity futures trading, and other financing business fell.

The 10-year government bond yield, an indicator of long-term interest rates, rose slightly to 0.895%. After falling to 0.750% on the 5th, there was a volatile movement, but it has finally settled down. The turbulence in the market since July 31 on the hawkish remarks of BoJ Deputy Governor Masayoshi Amamiya subsided after his dovish remarks yesterday. Although the Bank of Japan has just shifted from being hawkish to dovish in just one week, the view that a good cycle of inflation will continue to push up prices and that personal consumption will remain robust may change in the future. Concerns about foreign investors selling Japanese stocks due to the decline in confidence in the Bank of Japan have not been dispelled, so there may be a rough price movement led by futures for some time. The afternoon Tokyo market is also expected to be volatile again.

- The 10-year government bond yield, an indicator of long-term interest rates, has risen slightly to 0.895%. After falling to 0.75% on the 5th, it had been volatile, but it has finally settled down. Following the dovish remarks by Masayoshi Amamiya, the Bank of Japan's deputy governor, the turmoil in the market after July 31 is settling down. The outlook, however, may change, as there is a possibility that the view that the virtuous circle of prices will push up prices and that individual consumption will remain strong may change. Concerns over foreign investors selling Japanese stocks due to declining trust in the Bank of Japan have not been dispelled, so rough price movements led by futures are likely to continue in the near future. The Tokyo market in the afternoon is also expected to see rough price movements.

The dollar-yen rebounded due to the rise in Japanese stocks.

The dollar-yen rebounded during the morning session of the Tokyo market. It had fallen to 145.44 yen due to yen buying ahead of the release of the minutes of the Bank of Japan's monetary policy meeting, which revealed the background to the rate hike. However, after the Nikkei average turned positive, yen-selling pressure strengthened, pushing it up to the 146.80 yen level.

The trading range so far has been 145.44-146.87 yen for the dollar-yen, 158.96-160.51 yen for the euro-yen, and 1.0921-1.0935 dollars for the euro-dollar.

Check stocks for the afternoon session

Six stocks, including Japan Information Create <4054> and Infonet <4444>, hit the daily limit high.

*Includes temporary stopper (indicated price)

Laser Tech <6920> was the top contributor to the rise, followed by Fast Retail <9983>.

Economic indicators and remarks by important people

[Economic indicators]

Trade balance in June: 1.5335 trillion yen surplus (forecast, May: 2.8499 trillion yen surplus)

[Important Person's Remarks]

-Minister of Finance Suzuki

"The specific techniques of monetary policy should be left to the Bank of Japan."

"The strong outcome of the Spring Labor offensive is gradually being reflected in wages."

"I will refrain from commenting on Deputy Governor Uchida's remarks."

- Main opinions from the Bank of Japan's monetary policy meeting (July 30-31)

"From the perspective of achieving price stability targets, it is appropriate to raise policy interest rates and adjust the degree of easing."

"For the current state of the Japanese economy, it is good to raise policy interest rates to some extent from an extremely low level."

"Even if interest rates are raised, the nominal interest rate of 0.25% is still an extremely accommodative level."

"Financial normalization should not become an end in itself, and policy operations should be carefully carried out in the future."

2:00 pm July Economic Watcher Survey Current Conditions Index (Forecast: 47.5, June: 47.0)

Not applicable.