The Nikkei 225 is expected to fall sharply in Tokyo trading on the 11th. Selling of Japanese stocks is expected to lead the market lower as NY crude oil rises into the $100s per barrel and U.S. interest rates climb, while position adjustments ahead of the release of the U.S. CPI for August are also likely to weigh on the market.
In Tokyo trading on the 11th, the Nikkei 225 is expected to find a downside benchmark at around ¥1,770 below the previous day's close, with a sharp decline anticipated.
The market is reacting negatively to NY crude oil futures moving above $100 per barrel, which is exerting selling pressure on Japanese stocks through the decline in U.S. equities.
As inflation concerns mount, selling to adjust positions ahead of the release of the U.S. consumer price index (CPI) for August is expected to weigh on Japanese stocks.