The Nikkei Average weakened after the open, falling ¥425 from the previous day as of 9:05 a.m. Sharp declines in the SOX Index, higher oil prices and elevated U.S. long-term interest rates weighed on market sentiment.
Selling led the market immediately after the open, with the Nikkei Average down ¥425 as of 9:05 a.m. Declines in the major U.S. stock market indexes weighed on Tokyo stocks, while the SOX Index, which comprises semiconductor stocks, fell sharply.
In overseas markets, crude oil futures prices and U.S. long-term interest rates remained at high levels, prompting investors to take a cautious stance. The Dow Average hit an intraday low after trading began, then pared its losses and briefly turned higher, although downside support remained in place.
Some observers pointed to dip-buying as a reaction to the Nikkei Average's previous declines, but selling prevailed at the open.