[Nikkei Stock Average and TOPIX (Table)]

Nikkei Average; 38206.43; -874.82

TOPIX; 2656.13; -39.38

Summary of the start of the afternoon session

The afternoon Nikkei average started at a similar level to the previous day at 38206.43 yen, down 874.82 yen from the previous close (38196.53 yen). During lunchtime, the Nikkei 225 futures traded in a range between 38080 yen and 38230 yen. The dollar-yen exchange rate remained at around 152.30-40 yen, showing a depreciation of about 30 yen against the yen and a higher level against the dollar since around 9 a.m. Asian market conditions saw the Shanghai Composite Index fluctuating around the previous day's closing price with about a 0.3% increase, while the Hang Seng Index was trading in positive territory, rising by approximately 0.8%.

The afternoon Nikkei average began at a level similar to the previous close. The Nikkei average experienced a drop of over 1000 yen in total between yesterday and today's morning session, leading to some concerns of excessive short-term decline. However, with important events such as tonight's US employment statistics release and next week's US presidential election approaching, some investors are refraining from active buying ahead of the 3-day Tokyo market holiday starting tomorrow.

In sectors, nonferrous metals, chemicals, and electric appliances are among the top decliners, while the banking sector is showing an increase. In the top trading values on the Tokyo Stock Exchange Prime Market, Laser Tech <6920>, Socionext <6526>, Fujitsu <6702>, Ibiden <4062>, Fujikura <5803>, Hitachi <6501>, Renesas <6723>, SoftBankG <9984>, IHI <7013>, TDK <6762> are declining. On the other hand, Mitsubishi Electric <6503>, Panasonic Holdings <6752>, Fuji Electric <6504>, Sakura <3778>, OLC <4661>, TEPCO Holdings <9501>, Kawasaki Kisen <9107>, Takeda Pharmaceutical <4502>, Mizuho <8411>, Screen Holdings <7735> are on the rise.