With the Nikkei Stock Average trading just below ¥70,000, funds are flowing into small- and mid-cap stocks, and buying targeting growth stocks, particularly AI and semiconductor names, has become prominent.
Views are spreading that funds are flowing into small- and mid-cap stocks, creating a market environment in which value stocks that had long been left undervalued are also more likely to attract buying. Some observers also point to continued momentum led by AI and semiconductor stocks.
The Nikkei Stock Average remains stalled just short of the key ¥70,000 level, and the broader market continues to lack momentum compared with stocks that are charting an upward trend. Some observers suggest that changes in the market environment may be a contributing factor.
In Tokyo trading on the 24th, the Nikkei extended its decline, with the drop from the previous weekend's close exceeding 500 yen at one point. Although there are signs that the concerns that emerged in July have begun to recede, upcoming events, including NVIDIA's earnings announcement, are being cited as a focus of investor attention.