Expectations for a December rate hike strengthened in the US market, and the Nikkei rebounded. AI and semiconductor-related stocks boosted their contribution to the gains, while overseas developments and IPO-related news also became the focus of the market.
In the US stock market, over the period from 11 November 9 to 11 November 11, buying focused mainly on AI-related stocks as investors assessed the data, the Dow Jones Industrial Average rebounded, and the Nasdaq remained firm. On 11 November 10, expectations for an additional Fed rate hike strengthened in response to inflation data, and expectations for a December rate hike became increasingly priced in. In addition, Nvidia's share-price movements attracted attention among core stocks, while reports of an internal investigation at the company weighed on investor sentiment. On 11 November 11, CoreWeave's earnings were well received, and buying spread to semiconductor and AI-related stocks.
In the Japanese market, the Nikkei rebounded over the 3 days from 11 November 9 to 11 November 11, but the top contributors were exclusively AI and semiconductor-related stocks, meaning that the overall rise remained supported by a narrow range of names. The Nikkei rose more than 2,000 points at one stage, but came under profit-taking pressure toward the end of the period, raising concerns about a shift in the long-term trend. Although the TSE Prime Index rebounded, the situation continued in which the top 5 contributing stocks had a major influence on the index's overall gain.
In the Chinese market, the Shanghai Composite rose for 3 consecutive days on 11/9, 11/10 and 11/11, supported by developments in AI and high-tech stocks. At the same time, weak domestic demand and ongoing expectations for continued US rate hikes were seen as factors limiting gains. Government-backed stock-price support measures and capital-market stabilization measures attracted attention, and buying was seen mainly in the financial and high-tech sectors.