Tokyo stocks fell sharply on concerns over higher oil prices and rising US interest rates. The Nikkei Average dropped approximately ¥1,260 from the previous day, falling below the ¥64,000 level, with deteriorating investor sentiment seen as one factor.
Tokyo stocks fell sharply on the 11th, with the Nikkei Stock Average closing at ¥64,011.34, down ¥1,259.61 from the previous day. Selling prevailed across the market, with stronger risk aversion among investors cited as a factor.
Rising crude oil futures were cited as a key factor. Concerns over tensions between the United States and countries in the Middle East intensified, and the view that upward pressure on the oil market would persist dampened investor sentiment.
Higher US interest rates also contributed to the market decline. The prevailing view is that periods of rising interest rates encourage longer-term fund reallocation and curb the flow of funds into equity markets.
According to reports, expectations that tensions between the United States and Iran would persist heightened uncertainty in the oil market and intensified the global risk-off mood.