The Nikkei Average ended the morning session range-bound around ¥67,000, with trading expected to remain centered around ¥67,000 in the afternoon. Buying in individual stocks is expected to continue amid developments in US equities and higher crude oil prices.
The Nikkei Average ended the morning session up ¥69.96 at ¥67,040.18, with estimated trading volume of 1,188.84 million shares. Upside was capped amid developments in US markets, but the index maintained solid downside support after opening, while buying in individual names such as Tokyo Electron and Recruit Holdings supported the index.
The Nikkei opened at ¥66,994.05 and continued to trade in a narrow range around ¥67,000 in the afternoon session. Investor sentiment turned cautious against a backdrop of activity in crude oil futures and rising US long-term interest rates, while stock-picking based on individual companies' earnings continued.
Among individual stocks, Tokyo Electron, Recruit Holdings, Advantest, TDK, Kioxia Holdings, FANUC, M3, Shin-Etsu Chemical, Ibiden, SCREEN Holdings, Secom, Ajinomoto, Yokohama Rubber, Nintendo and Taiyo Yuden rose. Meanwhile, Fast Retailing, Toyota Tsusho, Kyocera, SoftBank Group, Lasertec, Otsuka Holdings, Nitori Holdings, Daikin, Sumitomo Metal Mining, Bridgestone, Bandai Namco Holdings, Epson, Disco, HOYA and Honda declined.
The afternoon session is expected to remain range-bound around ¥67,000, with the continuation of higher crude oil prices and movements in US long-term interest rates potentially influencing the broader market. Meanwhile, buying in semiconductor stocks remains firm, and some expect stock-picking based on earnings to support the market.