Ahead of Micron Technology's US earnings release, the focus of tomorrow's stock market is expected to shift to the results and the market's reaction. In the previous day's Tokyo session, the Nikkei Average fell sharply and trading remained volatile.
In Tokyo trading on the 29th, the Nikkei Average closed at ¥65,481.27, down ¥396.35 from the previous session, amid volatile moves linked to futures. Just after the afternoon session opened, the decline briefly widened to nearly ¥1,200, but the market ultimately closed at the day's high. The downside impact from the ex-dividend adjustment was estimated at around ¥380, limiting the decline in real terms.
The market's resilience was supported by a group of major semiconductor manufacturing equipment stocks, with Lasertec, DISCO and SCREEN Holdings remaining in positive territory. DISCO became more active following an upgrade by a major securities firm, although some observers said the size of the price-target increase was significant and that supply-and-demand factors were also at work.
A series of key US economic indicators is expected to be released this week, shaping market expectations for higher interest rates. While views on forward guidance are divided, some expect rising interest rates and strong corporate earnings to proceed in parallel, while caution is warranted over the economic environment, including accelerating AI investment and higher barriers to financing.
Micron Technology's earnings release, scheduled for the 30th local time, is expected to be a critical test for the market's future direction. Even if the results are strong, it is uncertain whether they will exceed market expectations, and some view the earnings release as a selling event. Regardless of the results, AI-related stocks are expected to remain in focus.
Key economic events from today onward include the preliminary August industrial production and commercial activity statistics in the morning session, the 2-year government bond auction in the morning session, and construction equipment shipments, vehicle export data and housing-start statistics in the afternoon session. Overseas, China's September PMI, Australia's CPI, the US ADP employment report and the PCE deflator are also scheduled for release.