[Nikkei Stock Average and TOPIX (Table)]

Nikkei average; 39564.78; +1089.88.

TOPIX; 2725.46; +61.20.

Summary of the start of the afternoon session

In the afternoon, the Nikkei average started with an increase of 1089.88 yen from the previous day's close (39341.44 yen) to 39564.78 yen, expanding its gains. During lunchtime, the Nikkei 225 futures traded in a volatile range between 39450 yen and 39850 yen. The dollar-yen exchange rate remained around 1 dollar = 153.90-154.00 yen, showing a depreciation of about 2.40 yen from around 9 a.m. The Asian market saw the Shanghai Composite Index starting strong but turning lower after the opening, dropping by about 0.2%. On the other hand, the Hang Seng Index in Hong Kong opened lower and extended its losses, declining significantly by about 2.6%.

The afternoon session in the Tokyo market began with a focus on buying compared to the morning session. Market participants are closely monitoring the US presidential election results and the yen exchange rate. Some investors are holding back on active buying as they anticipate a delay in the announcement of the US election results and want to confirm events like the Federal Open Market Committee (FOMC) results to be announced early on the 8th Japan time.

In sectors, banking, other products, and machinery are among the top gainers, while marine transportation is declining. In the top trading value on the TSE Prime Market, Mitsubishi Heavy Industries <7011>, IHI <7013>, Advantest <6857>, TDK <6762>, Kawasaki Heavy Industries <7012>, Fujikura <5803>, Sakura <3778>, Fanuc <6954>, Nintendo <7974>, and Mitsui Sumitomo <8316> are performing well. On the other hand, Mercari <4385>, Nippon Yusen <9101>, Panasonic Corporation <6752>, Murata Manufacturing <6981>, Keyence <6861>, and Mitsui O.S.K. Lines <9104> are declining.