Next week's points
The Japanese stock market is expected to rise heavily next week. The Tokyo market will only be present for 3 days next week, but important events will continue in the US, and there is a possibility that the market will be rough in some cases. Also, there is a possibility that US economic indicators will lead to a retreat in interest rate reduction observations, which will cool down investors' desire to buy. Meanwhile, as Japan-US financial results have been announced one after another, searching using corporate performance as a clue has taken center stage, and it seems that it will support the market price.
In domestic corporate accounts, for companies with historic wage increases and the depreciation of the yenInvestors' attention is being drawn to the impact of cost increase factors. In order for Japanese stocks to reach a higher level, they are not biased towards some export sectors such as automobiles,A bright earnings outlook is needed for a wide range of industries, including the domestic demand sectorThat's it.The domestic demand sector shows a good performance plan, and whether stock prices can rebound is an important point. Also, the yen broke through the milestone of 155 yen against the dollar and hit a low for the first time in 34 years until the latter half of the 156 yen range, and concerns about rising import costs of raw materials, energy, etc. have weighed on the upper price of Japanese stocks as a whole. The trend is that they aim for 1 dollar = 160 yen nonstop...

Stock price reaction immediately after financial results announcement: 4.4% increase due to overtime trading on 4/25
・The benefits of introducing OpenAI's AI technology into our products were also shown in the current financial results.
・The main division was generally strong, and sales of the notable cloud business, Azure & other cloud services, increased 31% compared to the same period last year (AI services contributed to 7 point growth), resulting in high growth exceeding market expectations (29% increase from the same period).
・The use of AI products and services continues to expand.
Earnings Highlights
●3Q (fiscal year ending January-March) results: higher than expected
● All three divisions are strong, and growth in the cloud business is also accelerating
●The contribution of AI is expanding in the cloud business
★ Guidance is also above expectations
・4Q (April-6 fiscal year) guidance: Sales of Azure & other cloud services are expected to increase 30-31% compared to the same period last year (market forecast 29% increase)
・Double-digit sales and operating profit growth are expected for the 2025/6 fiscal year, and the operating profit margin is expected to drop only 1 point compared to the previous year, even considering large investments in cloud and AI.
★ Management's Key Comments
・Our AI innovation...

Good morning to all Moomoo users!Here are the key points of this morning's first report.
● [Tokyo Stock Exchange Rate Forecast Range] 37,300 yen - 37,900 yen (25th closing price 37,628 yen 48 sen)
● US GDP decelerates sharply in January-March, inflation accelerates - expectations for a soft landing are different
● Sales exceed expectations due to strong Alphabet and Cloud sales - dividends announced
● Microsoft's sales and profits exceed expectations - AI demand is a tailwind
● Intel's April-June forecast falls below market expectations - stock prices fall outside of hours
● [Bank of Japan Decision Meeting Preview] Will monetary easing come to an end due to the depreciation of the yen for the first time in 34 years? Pay attention to whether policy interest rates induce interest rate increases even if left unchanged
— MooMoo News Kathy
Market Overview
In the US stock market on the 25th, the NY Dow Jones Industrial Average continued to drop drastically to 38,085 dollars 80 cents, which is 375 dollars 12 cents lower than the previous business day. The Nasdaq Composite Stock Price Index fell 100.989 points to 15,611.760. Amid strong and weak views in the Tokyo stock market on the 26th, the Nikkei Stock Average is expected to intersect with buying and selling in the latter half of the 37,000 yen range...

This article uses automatic translation for some of its parts
The fundamentals of AI-related stocks will drive further big tech performance
● While investors are closely watching the financial results announcements of approximately 180 S&P 500 companies, including major high-tech companies, they are also paying attention to geopolitical tension in the Middle East.
● As demand for AI expands and contributes greatly to the profits of high-tech companies, there is a possibility that global data center capital investment in 2024 will be underestimated at 300 billion US dollars.
● Despite recent sales, valuations in the tech sector are seen as attractive. Since the current predicted PER for Big Tech is still low, there is a possibility that it will exceed expectations.
Is the fall in semiconductor stocks not over yet?
● Semiconductor stocks have skyrocketed since the beginning of this year. Even after the recent decline, the year-to-date increase rate has exceeded 20%. Valuations are also extremely expensive, and PER (TTM, trailing twelve months) for March has reached 56 times. In addition to these factors, interest rate increases due to higher-than-expected inflation and geopolitical concerns...