The Nikkei fell sharply for a second straight session, down more than ¥570. Selling led the morning session against a backdrop of higher crude oil prices and rising US long-term interest rates, and the market is expected to remain near its lows in the afternoon session.
The Nikkei ended the morning session on the 29th down ¥571 at ¥65,307.00, with estimated trading volume of approximately 969.96 million shares. Following the decline in US stocks the previous day, selling spread after the open, and all 33 sectors fell.
Crude oil prices rose amid difficult talks over reopening the Strait of Hormuz, while expectations of higher US long-term interest rates were also seen as a source of selling pressure. Among individual stocks, Tokyo Electron, Recruit Holdings, Lasertec, DISCO and Sony Group rose, while Advantest, SoftBank Group, Nexon, Ibiden and TDK fell.
The Nikkei widened its decline further at the open on the 29th and is expected to remain near its lows in the afternoon session. The level below the 75-day moving average is again being watched as overhead resistance, while selling to raise cash following the ex-dividend date is also expected to continue.