The Nikkei Stock Average Volatility Index (Nikkei VI) fell from the previous day to 30.55. Following the three major U.S. stock indexes falling together for the third straight session, Nikkei 225 futures remained mostly in negative territory. With key U.S. economic indicators and Bank of Japan and FOMC meetings ahead, market sentiment is expected to remain in a phase where it is unlikely to tilt in one direction.
The Nikkei VI fell 1.00 from the previous day, a decline of 3.17%, to 30.55. During intraday trading, it fluctuated around the previous day's level. It traded between a high of 32.17 and a low of 30.55.
In the U.S. market, the three major indexes all fell for the third straight session, while Nikkei 225 futures also remained mostly in negative territory. Following developments in overseas markets, volatility in domestic market sentiment has increased.
The U.S. producer price index (PPI) is due to be released, followed by the consumer price index (CPI) on the 11th. The FOMC and the Bank of Japan's Monetary Policy Meeting will be held next week. With these key events ahead, market sentiment is expected to remain unlikely to tilt in one direction.
The Nikkei VI is an indicator of the expected magnitude of market fluctuations over the next month and generally has an inverse correlation with the Nikkei Stock Average. However, the direction of any renewed movement will likely remain uncertain depending on upcoming events.