The Nikkei average was sold down as much as ¥332 on the 25th in the Tokyo stock market, but stood at ¥65,598.68 at the morning close, up ¥70.59 from the previous day, and traded modestly higher.
The Nikkei average opened on the 25th at ¥65,195.26, down ¥332.83, marking its third consecutive decline, but buying to cover positions spread after selling ran its course. The index moved into positive territory toward the end of the morning session, closing the morning at ¥65,598.68, up ¥70.59 from the previous day.
In the previous day's U.S. market, the Dow extended its gains, while the Nasdaq declined amid caution ahead of earnings from semiconductor giant NVIDIA. Semiconductor-related shares came under selling pressure first in the Tokyo market as well, but falling crude oil futures prices and lower U.S. long-term interest rates provided reassurance, and downside support drew attention.
Among individual stocks, Fujikura, Ibiden, SoftBank Group, Fast Retailing, KDDI, Recruit Holdings and Bandai Namco Holdings advanced. Advantest, TDK, Disco, FANUC, Honda and Toyota Motor, among others, declined.
The market is expected to remain range-bound around the morning closing level in the afternoon session, with some seeing the 75-day moving average as potential resistance on the upside. The TOPIX of the TSE Prime Market ended the morning at 4,073.89, up 0.60 points from the previous day.
NVIDIA's earnings are scheduled for the 26th this week, followed by a speech at the Jackson Hole meeting on the 28th. The market wants to assess these events, and a wait-and-see mood may intensify.