The Nikkei 225 is expected to start higher in Tokyo trading on the 14th and recover to around the ¥64,600 level on the back of gains in U.S. stocks late last week. At the same time, some expect gains to be capped as turmoil in the Middle East could push crude oil prices higher again.
The Nikkei 225 is expected to start higher in Tokyo trading on the 14th. With U.S. stocks rising late last week, led by semiconductor-related shares, the index is expected to recover from the previous session’s close of ¥64,011 to around ¥64,600, approximately ¥600 higher.
In the U.S. stock market, the Dow Jones Industrial Average rebounded on the 11th for the first time in 5 trading days, and its closing level was reported. Some expect this to provide a buying catalyst for Japanese stocks, but an escalation of tensions in the Middle East could cause crude oil prices to firm again, potentially capping gains in Japanese stocks.