In Tokyo stock market trading on the 1st, the Nikkei 225 edged lower in the morning as expectations grew that companies' funding costs would increase following the rise in long-term interest rates. The morning closing level was about ¥261 below the previous day's close.
In morning trading on the Tokyo stock market on the 1st, reports indicated that the rise in long-term interest rates had continued, and stock prices responded as concerns over investors' funding costs grew. The Nikkei 225 edged lower after opening, while market-wide movements became increasingly cautious as trading progressed.
The rise in long-term interest rates was cited as a second factor, with expectations growing that companies' funding costs would increase. This view may have affected investor sentiment, particularly as uncertainty over economic conditions increased, and may have become a factor limiting gains in stock prices.
As a third piece of information, today's market movements reflect conditions as of the morning, and the Nikkei 225's level and subsequent direction are expected to change depending on trading conditions later in the afternoon and beyond. Market participants are closely watching long-term interest rates and the resulting changes in companies' funding environment.