The Nikkei Average fell sharply. The forward market transaction was closed at 38649.15 yen (estimated volume of 730 million shares), which was 454.07 yen lower (-1.16%) compared to the previous day.
The US stock market continued to decline on the 23rd. The Dow average closed at 39065.26 dollars (-1.53%) lower by 605.78 dollars, the NASDAQ depreciated 65.50 points (-0.39%) at 16736.04, and the S&P 500 closed at 5267.84, which was 39.17 points lower (-0.74%). Semiconductor NVIDIA's favorable financial results led to an improvement in investor sentiment, and it remained steady. After that, long-term interest rates rose due to employment-related indicators and PMI being stronger than expected and expectations of interest rate cuts receding, and the upper price of the market was suppressed. Furthermore, Boeing's decline weighed on the Dow, pushing the index further down and turning into a decline. The NASDAQ also remained strong in the early stages, but towards the end, profit-taking sales ahead of consecutive holidays also became heavy and ended with a decline.
In response to the decline in US stocks, the Tokyo market began trading with a selling advantage. Since the decline spread mainly to high-tech stocks such as semiconductors in response to rising interest rates between Japan and the US, there was a scene where the Nikkei Average temporarily fell to 38367.70 yen. However, since the rise in US 10-year bond yields after hours came to a standstill, there was a movement to buy back mainly futures, and the decline narrowed until the forward closing.
Among stocks adopted by the Nikkei Average, disappointment with the medium-term management plan took precedence and Fuji Electric (6504) depreciated drastically, and a decline in semiconductor stocks such as Socionext ＜6526＞, Lasertech ＜6920＞, Advantest ＜6857＞, Screen HD ＜7735＞, Tokyo Electron ＜8035＞, and SUMCO ＜3436＞ was conspicuous. In addition, Tokyo Tatemono ＜8804＞, Sumitomo Mining ＜5713＞, and Sony Group ＜6758＞ were sold. Other than stocks adopted by the Nikkei Average, the decline in Micronics Japan (6871) was conspicuous.
Meanwhile, reports on some domestic securities were viewed as material, and in addition to DIC ＜4631＞, Shiseido ＜4911＞, and Kawasaki Shigeru ＜7012＞ being bought, Hitachi ＜6501＞, Nippon Steel Works ＜5631＞, and Obayashi Corporation ＜1802＞ rose. Other than stocks adopted by the Nikkei Average, Hokkaido Electric Power Company ＜9509＞ was bought based on electricity demand expectations.
By industry, while the electrical equipment, information/communication industry, securities/commodity futures trading business, real estate industry, mining industry, etc. declined, the electric/gas industry, steel, rubber products, nonferrous metals, shipping industries, etc. rose.
The depreciation of the yen and appreciation of the dollar are progressing to the 157 yen level of exchange per dollar. It reached the 157 yen level for the first time in about 3 weeks after the government and the Bank of Japan seem to have intervened in yen purchases on 4/29 and 5/1. There is also strength in the US economic indicators last night, but since US Treasury Secretary Yellen stabbed the nail saying “exchange intervention is not a measure used on a daily basis,” speculation that it is difficult to implement the intervention for the third time is the driving force behind the depreciation of the yen and the appreciation of the dollar. There is a weak mood in the market where the depreciation of the yen is used as a material for stock appreciation, and it seems that the progress of the depreciation of the yen along with rising interest rates is regarded as wait-and-see material to refrain from aggressive trading. Despite today's drastic depreciation in the Tokyo market, the trading price of the previous prime market remains at 2.1 trillion yen, so I'm worried about the weakness of the push. I want to be wary of developments where the Nikkei Average will expand its decline again in the backstage.