In the Tokyo market on the 7th, the Nikkei average fell back but held above ¥70,000. Some semiconductor-related and electronic-component stocks weakened as profit-taking emerged.
In the Tokyo stock market on the 7th, the Nikkei Stock Average fell ¥609.85 from the previous day to ¥70,074.13. Although it held above ¥70,000, the market fell back significantly. The index briefly moved into slightly positive territory in the morning session before quickly slipping into negative territory and extending its decline. The TOPIX ended the morning session at 4,158.89, down 0.59%, while trading value on the TSE Prime Market was ¥3.881902 trillion.
By sector, rubber products, electric power and gas, and real estate were bought, while nonferrous metals, banks, and iron and steel declined. Among individual stocks, some cybersecurity-related stocks were firm, and trading based on individual catalysts, including earnings announcements, was also active.
With earnings season approaching, Tabei, a department head at Naito Securities, said the incentive to verify earnings was strong. He said the Nikkei average was likely to continue moving up and down until earnings announcements, adding that market participants would monitor sectors susceptible to the impact of higher interest rates while earnings expectations for semiconductor-related stocks remained a supporting factor.
On the previous day, the 6th, the Nikkei average ended sharply higher, with lower crude oil prices and earnings expectations supporting buying in semiconductor and electronic-component stocks. In the morning session on the 7th, selling spread as a reaction, while some market participants said the impact of the US employment report was fading. The market remained unstable as investors continued to reassess the various factors.