The Nikkei Stock Average Volatility Index (Nikkei VI) fell sharply to 32.17. A rebound in U.S. markets and moves in AI-related stocks somewhat improved market sentiment, while higher oil prices and caution ahead of earnings season weighed on the upside.
The Nikkei VI fell 3.96 points day on day, a decline of 10.96%, to 32.17. The intraday high was 33.81 and the low was 32.11. Buying led the Tokyo market against the backdrop of a rebound in U.S. stocks. Following the previous day's sharp decline, buying spread among investors seeking a technical rebound, and Nikkei 225 futures opened higher. Fund flows into AI-related companies were viewed as a market factor.
Toward the close, the upside was capped by selling to await a rebound amid elevated oil prices and caution ahead of earnings season. However, market concern over rising volatility eased, and the Nikkei VI remained just above the upper end of its normal range.