[Nikkei Stock Average and TOPIX (Table)]

Nikkei Average; 38,867.31; +331.61

TOPIX; 2,725.11; +23.89

Summary of the start of the afternoon session

The afternoon Nikkei Average started slightly higher from the morning close (38,842.13 yen) with an increase of 331.61 yen to 38,867.31 yen. During lunchtime, the Nikkei 225 futures traded in a range of 38,870 yen to 38,940 yen. The dollar-yen exchange rate has been relatively stable around 1 dollar = 156.30-40 yen, with the yen slightly stronger and the dollar weaker since around 9 a.m. The Asian market conditions show mixed movements, with the Shanghai Composite Index down about 0.4% fluctuating around the previous day's closing price, while the Hang Seng Index was initially weak but has risen by about 0.6% holding firm at the lower level.

The Tokyo market in the afternoon session started with a slightly bullish trend compared to the morning close. The solid support around 38,800 yen for the Nikkei Average in the morning session seems to have provided reassurance. On the other hand, the Dow Jones Futures are showing a slightly weak performance, weighing on the stock prices in the Tokyo market.

In terms of sectors, marine transportation, electrical utilities, and transportation equipment are among the top performers in terms of price increases, while the service industry, other financing businesses, and securities and commodity futures are declining.

Among the top trading value companies on the TSE Prime Market, Japan Post Insurance <7181>, Mizuho <8411>, Disco <6146>, Nissan <7201>, ScreenHD <7735>, TEPCOHD <9501>, Keyence <6861>, SMC <6273>, IHI <7013>, and ResonaHD <8308> are performing well. On the other hand, Asahi <2502>, Rakuten Group <4755>, Ebara Seisakusho <6361>, RecruitHD <6098>, SHIFT <3697>, PanasonicHD <6752>, Sakura <3778>, Mitsui E&S <7003>, Fujikura <5803>, and Itochu <8001> are experiencing a decline.