As of 2:10 p.m., the Nikkei Average VI had fallen 0.52% from the previous day to 27.65. While the market remained wary of high crude oil prices and rising long-term interest rates, buying predominated in the Tokyo market.
As of 2:10 p.m., the Nikkei Average VI was down 0.52 from the previous day, representing a decline of 1.85%, to 27.65. It traded at a high of 27.91 and a low of 26.91 today. The index indicates the expected magnitude of fluctuations in the Nikkei Average over the coming month and serves as a measure of market turbulence. The Nikkei VI tends to surge during sharp market declines and revert toward a range of around 20 to 30. Against this backdrop, investor caution may have eased somewhat.
Although the Dow Jones Industrial Average fell in yesterday's US stock market, buying predominated in today's Tokyo market, easing concerns about rising volatility. However, the Nikkei VI is sensitive to changes in market sentiment, and persistently high crude oil prices and rising long-term interest rates remain in focus as risk factors.
Market participants have cited persistently high crude oil prices and long-term interest rates rising both in Japan and overseas as risk factors, and there were periods when the decline in the Nikkei VI temporarily narrowed. These factors could affect the Nikkei Average's future volatility and are being closely watched.