In the Japanese market, which reacted to developments following the US midterm elections amid political developments in Japan and the US, the Nikkei Average recorded a sharp temporary decline before gradually showing signs of finding a floor, and reports indicated that it could return to pre-crash levels.
Following the US midterm election results, caution spread across the US stock market, with temporary weakness seen particularly in technology stocks. Calls for analysis of post-election market developments grew.
The Nikkei Average plunged from the opening of the Tokyo stock market on the 4th, at one point falling more than ¥3,000. It ultimately stood at 62,188, down ¥893. It also fell sharply again on the 6th.
Japanese stocks have been gradually regaining stability in tandem with the recovery in US stocks. The outlook is for investment strategies, including public investment under the Takaichi administration, and the domestic economy's expansionary trend to continue, leading to a return to pre-crash levels.
The article reports as facts the US midterm election results and the market reaction, as well as the outlook for a decline and recovery in the Nikkei Average. It does not offer investment advice or price forecasts, but provides an overview of the situation.