TOKYO (Reuters) – Today’s Tokyo stock market is expected to hold firm. A day earlier in the U.S. market, the major stock indexes were mixed on the strength of the labor market data. On the other hand, the dollar/yen exchange rate continues to weaken, and is expected to support Japanese stocks. After the end of the round, the stalemate is likely to gradually intensify ahead of important events over the weekend.
The expected range for the Nikkei Stock Average is 28,300 yen to 28,700 yen.
In the US market yesterday, the Dow Jones industrials continued to close lower on the back of strong employment data. The S&P 500 and Nasdaq Composite rallied slightly. Federal Reserve Chairman Jerome Powell said in congressional testimony before the House of Representatives that the rate hike to be decided by the Federal Open Market Committee (FOMC) on March 21-22 is still being debated and will depend on further data. And so on.
The Nikkei Stock Average is expected to remain firm, supported by the dollar/yen pair maintaining its recent highs. A more than 2% rise in the Philadelphia Semiconductor Index (SOX), which consists of major semiconductor stocks, is likely to support semiconductor-related stocks. With US interest rates still at a high level, value stocks (bargain stocks) will continue to be sought, and steel-related stocks such as steel are likely to be favored due to expectations of a recovery in the Chinese economy.
Ichiro Asai, deputy director of the investment information department at SBI Securities, said, “Japanese stocks are in an environment where it is easy to buy because they are above 28,000 yen, which was conscious of the weight of the top price. However, with events such as the US employment statistics, In the second half, the sense of stalemate will intensify.”
Today, the revised GDP (gross domestic product) for the October-December 2022 period will be announced in Japan, and the consumer price index (CPI) for February in China will be announced. In the United States, the weekly number of new insurance applicants is released.
Closing price of the previous business day Highest price since last year Low price since last year
Nikkei Average 28444.19 29388.16 24681.74
+135.03 2022/1/5 2022/3/9
Chicago Nikkei Stock Average Futures 28620 (Yen denominated)
