In Tokyo trading on the 10th, the Nikkei Stock Average temporarily recovered ¥60,000 and held on to its sharp morning gains. Gains in US AI-related stocks and lower oil prices provided buying cues.
The Nikkei Stock Average started higher in Tokyo trading on the 10th, temporarily gaining more than approximately ¥1,400 from the previous day to recover the ¥60,000 mark. Buying spread, particularly in artificial intelligence-related stocks, while moves in semiconductor stocks also helped lift the market.
AI-related stocks recovered in the previous day's US market, prompting buying in Japanese stocks as well. Rebounds in the Dow Jones Industrial Average and the SOX Index supported investor sentiment, and market developments in Japan and the US influenced each other.
The decline in WTI crude oil futures to a two-month low at one point was also widely seen as supporting the improvement in investor sentiment. Some observers said lower oil prices could also provide a cue for the resources sector.
The Nikkei's recovery is viewed as vulnerable to regulatory developments involving the US and China and moves in AI-related stocks. Market conditions may settle depending on US data and developments in energy markets.