The Nikkei Average VI fell 0.51 from the previous day to 31.52, while Nikkei 225 futures rebounded after declining, with downside remaining firm. Although market caution has eased somewhat, factors including uncertainty over the outlook for the situation in Iran and elevated NY crude oil prices remain in focus.
As of 14:10, the Nikkei Average VI stood at 31.52, down 0.51 from the previous day, or 1.59%. Its high so far today was 32.44, and its low was 30.62.
Nikkei 225 futures opened lower at the start of trading but turned higher thereafter, resulting in a market with firm downside support. Market caution has eased somewhat, and the Nikkei VI has been trading below yesterday's level.
However, uncertainty over the outlook for the situation in Iran persists, while NY crude oil futures have reached a three-month high, among other factors. The mood of caution over rising volatility therefore continues. The decline in the Nikkei VI has remained limited.
The Nikkei Average VI is an indicator of the volatility expected by the market over roughly the next month, and tends to revert to a certain range after a sharp rise. It is currently on a declining trend, but cautionary factors have not disappeared entirely.