Tokyo stocks are expected to remain weak on the 10th, following the trend in US markets. Attention is focused on the direction of semiconductor stocks and foreign exchange, which could determine the market's course.
Tokyo stocks are expected to remain weak on the 10th, with selling likely to lead trading after broad-based weakness in US markets on the 9th as rising interest rates weighed on stocks. The Nikkei 225 is expected to trade below the previous day's close.
At the same time, attention is focused on the possibility that semiconductor stocks could provide downside support for the Nikkei 225 if the SOX (Philadelphia Semiconductor Index) remains firm, along with the direction of the KOSPI. In foreign exchange markets, the dollar is trading in the mid-¥153 range and the euro in the mid-¥178 range, with the yen slightly weaker.
Based on ADR prices converted to the 9th Tokyo closing prices, Sumitomo Chemical, ENEOS and Mitsui Kinzoku were lower than the previous day. The yen-denominated settlement price for Chicago Nikkei futures was approximately ¥1,085 below the previous day's level.
In Japan, the weekly inward securities transaction contracts report is due at 8:50 a.m., and Sekisui House is scheduled to announce its earnings. Overseas, the US producer price index, initial jobless claims and existing home sales are due, along with an address by ECB President Lagarde and a US Treasury auction.