With 28 September approaching as the last day to buy shares to qualify for the interim dividend, caution is mounting over the Nikkei 225's performance after the end of September. Some expect profit-taking selling to increase after the dividend entitlement period ends.
The Dow fell sharply in the US market on 24 September, while AI-related stocks moved in mixed directions amid rising yields and developments in oil prices. The Nikkei 225 maintained its gain from the previous day, but rising long-term US Treasury yields weighed on the market, which lacked clear direction.
In the Japanese market, the Nikkei 225 surged at times, gaining ¥495 on 24 September and ¥850 on 25 September, while buying to secure the interim dividend entitlement spread broadly ahead of the end of the entitlement period. At times, however, reports of delays to Oracle's AI data center plans weakened the Nikkei 225's advance.
AI and semiconductor-related stocks stood out among the top contributors on 24 and 25 September, with Advantest, Ibiden and Tokyo Electron making significant contributions. SoftBank Group and others, meanwhile, turned lower at times. TOPIX edged down, while the JPX Prime Index rebounded.
Looking ahead, buying to secure the dividend entitlement may continue through the morning of 28 September, but profit-taking and position-adjustment selling are expected to increase thereafter. If buying related to the end-of-September factors recedes, the Nikkei 225 may come under pressure, making it important to wait and see and adjust positions.