I would like to pay attention to the following 3 points in the transaction before 11/1.

■The appreciation of the yen and the depreciation of US high-tech stocks are burdensome

■Canon's 3Q operating profit increased 14.4% to 296.6 billion yen

■Featured materials on the front floor: Nidec, Nidec machine tools, in-line inspection of all gears, collaboration with Swiss companies

■The appreciation of the yen and the depreciation of US high-tech stocks are burdensome

The Japanese stock market on the 1st is likely to have a dominant selling market. On October 31, the NY Dow depreciated by 378 dollars and the NASDAQ depreciated 512 points in the US market. In response to the decline of Microsoft and Meta Platforms, a wide range of high-tech stocks were sold. Also, in reports that Iran is preparing a large-scale retaliatory attack against Israel, concerns about the worsening situation in the Middle East also became selling material. The Chicago Nikkei 225 futures settlement price is 38350 yen, 710 yen lower than Osaka. The yen exchange rate has been hovering in the 151 yen 90 yen range per dollar.

The Nikkei Stock Average is likely to begin with the development of sales dominance in the form of falling in favor of Chicago futures. Bank of Japan Governor Ueda Kazuo showed a positive attitude towards additional interest rate hikes at the press conference, and in response to the fact that the yen appreciation and dollar depreciation progressed to 1 dollar = 151 yen level at one point, sales of Nikkei 225 futures began ahead of time in the night session, and due in part to the depreciation of US high-tech stocks, there was also a scene where they were sold up to 38120 yen at one point. There is also an effect that it fell to the 200-day line level all at once, and sales related to the index are likely to increase in the morning.

There seems to be a possibility that this feeling will intensify after the sales round, but in the US, in addition to announcing employment statistics, important events such as the US presidential election and the US Federal Open Market Committee (FOMC) are ahead next week. As cautious attitudes tend to strengthen, it seems that purchases aimed at a rebound after the first round of sales will also be limited, as it is sometimes before the 3 consecutive holidays domestically.

As for financial results, good financial results have continued in the US, and disco ＜6146 ＞, Nidec ＜6594＞, and Advantest ＜6857＞ also showed a good response domestically. However, as financial results announcements are in full swing, results that fall below the expectations of major companies have begun to stand out, and there have also been scenes where sentiment cools down. In a mood where they want to determine results, let's turn them to daily shopping using individual financial accounts as clues.

Also, in last night's financial results, Takeda Pharmaceutical ＜4502＞, Screen HD ＜7735＞, Kyushu Electric Power ＜9508＞, Chudenko ＜1941＞, Nippon Gaishi ＜5333＞, Komori ＜6349＞, J Power ＜9513＞, M&A Capi ＜6080＞, Ibiden ＜4062＞, and Makino Frise ＜6135＞ are attracting attention.

■Canon's 3Q operating profit increased 14.4% to 296.6 billion yen

The third quarter results for the fiscal year ending 2024/12 announced by Canon ＜7751＞ were sales of 3 trillion236.1 billion 11 million yen, up 7.3% from the same period last year, and operating profit of 296.6 billion 38 million yen, up 14.4% from the same period last year. The gross profit margin was 47.8%, 0.8 points higher than the same period last year due to cost reductions and improvements in product mix, etc., and gross profit also increased 7.1% from the same period last year to 516.4 billion yen.

■Notable materials from the front

・US crude oil futures rose (69.26, +0.65)

・Expectations that US inflation will calm down

・Active share buybacks

・Request for improvement of corporate value by the Tokyo Stock Exchange

・Nidec ＜6594＞Nidec machine tool, in-line inspection of all gears, collaboration with Swiss company

・Mitsui E&S ＜7003＞ Group supplies methanol engines to DUs and large tankers

・NTT ＜9432＞ Toyota Motor Corporation and “mobility AI infrastructure” development, 500 billion yen investment

・Mr. Makoto Inoue becomes president of Otsuka HD ＜4578＞ to create new drugs and expand new businesses

・Mr. Malik as president of Kyowa Kirin ＜4151＞, also serves as COO, and accelerates globalization

・Aisin ＜7259＞ dissolves the establishment of a new company for EV products and switches to a business alliance with Mitsubishi Electric

・Harmonic＜6324＞KODENHD and “Hata Lab” were established to take over the processing of difficult materials

・Capital partnership with Keisei Electric Railway＜9009＞AEON, area development along the line

・Tohoku Electric Power Company ＜9506＞ temporary discount due to restarting nuclear power plant, president “thanks for understanding”

・Nippon Steel ＜5401＞ President “Expect Good Answers” and US Steel Acquisition

・SoftBank ＜9434＞Celebrate the opening of Japan's largest emerging support base, Aichi Prefecture, etc.

・Tokuyama ＜4043＞Closing the business of its microporous film manufacturing and sales subsidiary in China

・Nissan's (7201) “e-Power” has reached a cumulative global production of 1.5 million units

・Sakurai Seisakusho ＜7255＞ robotic processing machine has been revamped and tap/helical compatible

・SoftBank ＜9434＞AI calculation infrastructure expansion, GPU 0.01 million units next year

・Aluminum foil integration with Nippon Light Metal HD ＜5703＞UACJ discontinued

☆ Front office event schedule

＜Domestic＞

・Nothing in particular

＜Overseas＞

・ 10:45 Mid-October fiscal new manufacturing PMI (forecast: 49.7, September: 49.3)