The Nikkei average rebounded on the 20th after three sessions, closing at ¥66,216.79, up ¥890.37 from the previous day. After opening, it moved between a high of ¥66,325 and a low of ¥65,652, with US equities and interest-rate trends supporting the market.
The Nikkei average rebounded on the 20th after three sessions. It closed at ¥66,216.79, up ¥890.37 from the previous day. The morning session opened at ¥65,733 and fell as low as ¥65,652, but buying prevailed and the intraday high reached ¥66,325.
The afternoon session reopened at ¥65,929, then rose to ¥66,272 as buying continued before closing at ¥66,217. Gains in US equities in after-hours trading and trends in US long-term interest rates eased concerns over global interest rates and supported the market.
By sector, communications, retail, services, pharmaceuticals, electrical equipment and semiconductor-related stocks rose. Among large-cap stocks, Kioxia Holdings, Daiichi Sankyo, Honda Motor, Otsuka Holdings and Toyota Motor gained, while Ibiden, Murata Manufacturing and Tokyo Electron declined.
All three major US market indexes fell. Initial US jobless claims for the previous week declined from the prior week, while rising crude oil prices and higher US long-term interest rates weighed on the market.
The view is that trends in US long-term interest rates and easing concerns over further increases in long-term rates supported the rebound in Japanese equities. Attention will now turn to Japan's July nationwide CPI and the US August PMI.