The Nikkei Stock Average rebounded on the 7th trading day, but fell sharply by ¥3,706 over the week. The outlook calls for the market to test a rebound next week.
On the 16th, the Nikkei Stock Average posted its first significant rebound in 7 trading days, opening higher on buying prompted by gains in U.S. equities. Although it briefly moved higher, gains stalled toward the close, and the index ultimately recorded a large rise from the previous day. It closed at ¥65,324, down ¥898.
Trading value on the TSE Prime Market was approximately ¥7.66 trillion. Among individual stocks, buying centered on AI-related issues, with BayCurrent and SHIFT hitting their daily price limits and TerraSky surging. Some stocks that moved on earnings-related news, however, were forced to correct, and Pacific Net fell sharply.
Next week, the domestic market is expected to remain focused on catalysts including Disco's earnings announcement and the September consumer price index, while remaining vulnerable to overseas factors. The Nikkei Stock Average is expected to recover some of its recent losses, with trading likely to be subdued in many sessions. The market may test a rebound next week. (Provided by DZH Financial Research)