The Nikkei 225 fell back in the morning session on the 2nd in the Tokyo stock market, following its sharp rise through the previous day. Uncertainty over the US and Middle East situations and rising crude oil prices weighed on the market, with the decline exceeding ¥800 at times.
The Nikkei 225 ended the morning session on the 2nd in the Tokyo stock market at ¥68,326.72, down ¥630.00 from the previous day. Selling emerged following the previous day's sharp rise.
The Wall Street Journal reported on the 1st that the United States planned to additionally deploy an aircraft carrier and up to 10,000 troops to the Middle East. In the US crude oil futures market, front-month WTI at times traded above the previous day's settlement price, leading to a deterioration in investor sentiment.
Against a backdrop of expectations that domestic institutional investors would sell at the start of the fiscal year and changes in the outlook for interest-rate hikes, profit-taking emerged in domestic-demand stocks such as banks and retailers, pushing down the market. At the same time, AI and semiconductor-related stocks attracted buying on Micron's earnings, and Advantest at times updated its record high since listing.
Long-term interest rates fell on factors related to the Federal Reserve's interest-rate outlook, and some market participants said views were spreading that the outlook for rate hikes in Japan and the United States would remain at around one each.
The TOPIX also fell, closing the morning session at 4,089.26 points. Trading value was approximately ¥4.0987 trillion, and trading volume was 1.11559 billion shares.