TSE Growth Market 250 Index futures are expected to see selling pressure during the day, while the downside is projected to remain within the 770–790-point range. Factors cited as influencing the market include rising long-term interest rates following the previous day's US stock-market performance and higher crude oil prices.
According to the previous day's US stock-market performance released today, the Dow fell $443.87 to 50,906.05, while the Nasdaq rose 63.53 points to 26,861.07. In tandem with these moves in US markets, TSE Growth Market 250 Index futures are reported to be likely to come under selling pressure after the opening. Market participants' caution following developments in Japan and the US has not been completely dispelled.
In the US market, the core PCE price index remained stable, suggesting that concerns over an additional rate hike within the year would ease. At the same time, higher crude oil prices could drive long-term interest rates higher and weigh on the Dow, according to some views. The Nasdaq remained firm throughout the session, resulting in mixed market conditions.
Some views suggest that the market could be considered resilient, and that buying opportunities could emerge, if the daily base line at 774 points and the 25-day moving average at 773 points can be maintained as intraday indicators. TSE Growth Market 250 Index futures in overnight trading finished at 782 points, down 5 points from the previous day's daytime close, with 790 points seen as the upside target and 770 points as the downside target.
Japanese factors, including the Bank of Japan's deliberations and the release of the Tankan survey, could also affect investor sentiment. Depending on upcoming economic data releases, the market's direction after the opening may change.