Looking back on last week
“Semiconductor stocks split 37,000 yen for the first time in 2 months due to the double punch of falling semiconductor stocks and the situation in the Middle East”
The Nikkei Average fell sharply last week to 37,68.35 yen (-6.21%), weakening by 2455.20 yen (-6.21%) per week. Weakness in the US market, such as the NASDAQ, put downward pressure on Japanese stocks, and the situation was severe throughout the week. The depreciation of the yen and appreciation of the dollar progressed from speculation that interest rate differences between Japan and the US would widen until the latter half of the 154 yen range per dollar. There was a tailwind for export-related stocks, but aggressive purchases were refrained in the stock market due to heightened sense of caution against implementing yen buying intervention by the government and the Bank of Japan.
The fact that there were no financial results for ASML Holding, a Dutch semiconductor lithography equipment that attracted attention, and that TSMC, the world's largest semiconductor contract manufacturer in Taiwan, lowered the overall growth forecast for the semiconductor market in 24 slightly lower than before, etc., and semiconductor stocks around the world depreciated drastically. While semiconductor stocks completely collapsed in the Tokyo market over the weekend, news such as “explosions at multiple locations in Iran” spread, and investor sentiment worsened further. In response to the complete depreciation of semiconductor stocks and the tense situation in the Middle East, the Nikkei Average temporarily split 37,000 yen since 2/9.
This week's outlook...