The Nikkei Stock Average Volatility Index (VI) was up sharply at 28.01 as of 14:10, 7.71 points higher than the previous day. Firm crude oil futures and elevated US and domestic long-term interest rates were sources of concern, while buying led the Tokyo market but gains were capped.
As of 14:10, the Nikkei VI was up sharply at 28.01, an increase of 7.71 points, or 37.98%, from the previous day. Today's high was 28.28 and low was 27.35.
Buying led the Tokyo market, but Nikkei 225 futures turned lower after the initial buying subsided. Firm crude oil futures and elevated US long-term interest rates, together with rising domestic long-term interest rates, were sources of concern in the market.
The Nikkei VI was also reacting to its sharp decline at the close of trading last Friday, and was trading well above last Friday's level today. The Nikkei VI is an indicator of the expected magnitude of volatility over the next month and tends to rise sharply during market plunges.