I would like to pay attention to the following 3 points in late-day trading on the 7th.

・The Nikkei Average fell for the first time in 3 days, and although price movements were rough, Toyota itself supported it

・Growth in the dollar and yen is sluggish, and US interest rates are solid

・The top contributor to price drops is Fast Rite ＜9983＞, and East Elec ＜8035＞ is in the same 2nd place

■The Nikkei Average fell for the first time in 3 days, and although price movements were rough, Toyota itself supported

The Nikkei Average fell for the first time in 3 days. The forward transaction was closed at 39321.87 yen (estimated turnover 1.4 billion 30 million shares), which was 158.80 yen lower (-0.40%) compared to the previous day.

The US stock market continued to rise drastically on the 6th. The Dow average closed at 43729.93 dollars, which was 1508.05 dollars higher, and the NASDAQ closed at 18983.46, which was 544.29 points higher. It was bought to dispel uncertainty when it passed the presidential election, and after getting close, it went up drastically. Purchases accelerated in anticipation of pro business measures by the 2nd Trump administration, such as deregulation leading to an increase in corporate profits, and remained steady throughout the day. The market came to an end due to optimistic views on the economy and expectations of additional interest rate cuts at the Federal Open Market Committee (FOMC) of the Federal Reserve (Fed), widened the range of increases, hit a record high, and ended.

In response to a sharp rise in US stocks, the Tokyo market also began trading with a buying advantage. The Nikkei Average rose to 39884.01 yen after the donation, but since Mr. Trump's victory had already been factored into the sharp rise the day before, there was also a scene where the Nikkei Average after one round of buying fell to the brink of breaking 39,000 yen at once. It was a rough development that swung up and down, but since Toyota's own ＜7203＞ was solid, etc., it was a development where the decline was reduced until the forward draw. Since financial stocks etc. were also searched, the trading price of the previous Prime Market was in the 3 trillion yen range.

Among stocks adopted by the Nikkei Average, MinebeaMitsumi ＜6479＞, which revised the net profit forecast downward, fell drastically, and NITORI HD ＜9843＞ was also sold because net profit for the first half did not reach market expectations. Also, Bangnam HD ＜7832＞, which was bought yesterday using financial results, also fell. Semiconductor stocks such as Screen HD ＜7735＞, Lasertec ＜6920＞, and East Elec ＜8035＞ were sold. In addition, Fast Lite ＜9983＞, Disco ＜6146＞, Chugai Pharmaceutical ＜4519＞, HOYA ＜7741＞, etc. declined.

Meanwhile, Keio ＜9008＞ was drastically higher due to upward revisions in earnings and dividend forecasts and stock buybacks, etc., and Daikin ＜6367＞, Tobu ＜9001＞, and Tokai Carbon (5301) also rose due to financial results being viewed as material. In addition, Yamaha's ＜7272＞, Denso ＜6902＞, Taiheiyo Cement ＜5233＞, Konica Minolta ＜4902＞, DeNA ＜2432＞, and Tokyo Gas ＜9531＞ were purchased.

By industry, only the four sectors of precision equipment, pharmaceuticals, retail, and non-ferrous metals declined, while transportation equipment, insurance, textiles, steel, banks, etc. rose.

The Nikkei Average was negative compared to the previous day due to a drop in the value of some stocks, but since TOPIX is solid, there is a possibility that the Nikkei Average will switch back later. As interest in stocks announcing financial results shifts, I would like to pay attention to trends in Fast Lite and semiconductor stocks.

The stocks that announced financial results during trading hours are as follows: at 12:00, Goyo Construction ＜1893＞; at 13:00, Toyobo ＜3101＞, Kurabo ＜3106＞, Oji HD ＜3861＞, Mitsui Chemicals ＜4183＞, OKI ＜6703＞, and at 14:00, Ando Hazama ＜1719＞, Fujifilm ＜4901＞, NTT ＜9432＞, at 15:00, Kirin HD ＜2503＞, Alfresa ＜2784＞, Teijin ＜3401＞ Kao ＜4452＞, Shisei Hall ＜4911＞, Nippon Steel ＜5401＞, Fujikura ＜5803＞, TOWA ＜6315＞, ROHM ＜6963＞, Taiyo Yuden ＜6976＞, Mazda ＜7261＞, Nikon ＜7731＞, Tokyo Tatemono ＜8804＞, Tokyo Metro ＜9023＞, Seibu HD ＜9024＞, Fujisoft ＜9749＞, etc. are planned.

■Growth in the dollar and yen is sluggish, and US interest rates are solid

The dollar and yen were sluggish in the Tokyo market on the morning of the 7th, and after temporarily raising the price from 154 yen 22 yen to 154 yen 70 yen, it stalled in the middle of 154 yen. The Nikkei Stock Average had a strong start but turned downward, and there were also situations where yen buying intensified. Meanwhile, US 10-year bond yields are solid, making it difficult to sell dollars.

The trading range up to this point is 154 yen 22 yen to 154 yen 70 sen for the dollar and yen, 165 yen 48 yen to 165 yen 96 sen for the euro and yen, and 1.0713 dollars to 1.0937 dollars for the euro dollar.

■Backstage check stocks

・3 stocks, such as SAPEET ＜269A＞ and Mercury ＜5025＞, etc., are stop-high

*Includes temporary stop height (sign value)

・Advantest ＜6857＞ is the top contributor to price increases, and Fast Rite ＜9983＞ is in the same 2nd place

■Economic indicators and statements from key figures

[Economic indicators]

・Germany/October service industry PMI revision value: 51.6 (forecast: 51.4, preliminary value: 51.4)

・Germany/October comprehensive PMI revised value: 48.6 (forecast: 48.4, preliminary value: 48.4)

・Eurozone October Service Industry PMI Revised Value: 51.6 (Forecast: 51.2, Preliminary Value: 51.2)

・Eurozone October Comprehensive PMI Revised Value: 50.0 (forecast: 49.7, preliminary value: 49.7)

・Eurozone September Producer Price Index: -3.4% YoY (forecast: -3.4%, August: -2.3%)

・Anglo-October construction industry PMI: 54.3 (forecast: 55.1, September: 57.2)

[Remarks by VIPs]

・Treasurer Mimura

“I want to take appropriate measures against movements that have gone too far”

“Trends in the exchange market are currently one-sided and radical”

“Watch with extreme tension”

・Australian Reserve Bank Governor Brock

“As a result of the US presidential election, the impact on Australian inflation is uncertain, but we will respond as necessary”

＜Domestic＞

・Nothing in particular

＜Overseas＞

・Time undecided ・October exports (year-on-year forecast: +5.0%, September: +2.4%)

・Time undecided ・October imports (year-on-year forecast: -2.0%, September: +0.3%)

・ 16:00 Germany/September industrial production (month-on-month forecast: -1.0%, August: +2.9%)

・ 16:00 Germany/September trade balance (forecast: +20.9 billion euros, August: +22.7 billion euros)