Views are spreading that momentum for a rebound will build in October once central bank events have passed, with attention also focused on the performance of stocks to watch against the backdrop of interest-rate trends in Japan and the US and technology earnings.
The Nikkei Average briefly fell below 63,000 as crude oil prices and long-term interest rates in Japan and the US rose, but after central bank events had passed, a sense that the market overhang had been cleared emerged and the index recovered into positive territory for the month. The probability of a Fed rate hike by year-end has exceeded 70%, while the timing of a domestic rate hike is expected to fall between the end of 2026 and the middle of 2027. However, the market has priced this in, and concerns over actual interest-rate levels are beginning to ease. The situation in the Middle East is also viewed as unlikely to change sharply before the US midterm elections in November, and there is a view that momentum for a rebound is likely to build against a backdrop of rising expectations for US technology earnings in the second half of October.
In addition, Japan Exchange Group, Olympus, Komatsu, Sysmex and ARCHION have been identified as 5 stocks expected to perform well. They are attracting attention from the perspectives of their respective business areas, growth strategies and share-price trends. This article examines the business background and market positioning of these stocks.