The expected range for the Nikkei Stock Average next week is ¥64,000 to ¥69,000, with attention focused on trends in US long-term interest rates and semiconductor stocks. Some expect momentum for a rebound to build depending on market movements after key US events.
The Nikkei Stock Average is expected to trade in a range of ¥64,000 to ¥69,000 next week (31 August to 4 September), and trends in US long-term interest rates will require close attention. Semiconductor stocks, including Kioxia Holdings and Advantest, are also expected to be a focus of the market.
This week, the market adopted a strong wait-and-see stance ahead of key events, including earnings results from major US semiconductor company NVIDIA and the Jackson Hole meeting. Following NVIDIA's earnings results, Kioxia Holdings was bought while Advantest was sold, leaving semiconductor-related stocks mixed. The TSE Growth Market 250 Index showed signs of recovery.
US economic indicators, including the employment report and ISM indices, are scheduled for release next week and could affect US long-term interest rates. In the Tokyo market, Kioxia Holdings, Advantest and Tokyo Electron are expected to be watched for another rebound. Some expect funds to flow more readily into small- and mid-cap stocks if large-cap stocks remain volatile.
Sanrio, Premier Group and Lion have been identified as the 3 stocks to watch next week, with information provided on their respective sectors, market codes, share prices, forecast PERs and actual PBRs.