The Nikkei Average VI rose sharply to 35.29. Selling led in the Tokyo market following the decline in US stocks, and concern over rising volatility intensified even after the BOJ meeting results, against the backdrop of Governor Ueda’s press conference and the US midterm elections.
As of 2:05 p.m., the Nikkei Volatility Index (Nikkei VI) was up 9.49 from the previous day, a gain of 36.78%, rising to 35.29. The high so far today was 36.86, while the low was 31.95.
Following the decline in U.S. equities yesterday, selling prevailed in the Tokyo market, and Nikkei 225 futures opened lower. Concern about a sharp expansion in volatility is mounting in the market.
The announcement of the Bank of Japan monetary policy meeting's decision took place around noon, but Bank of Japan Governor Ueda (植田)'s press conference in the evening and the U.S. midterm elections continue to be viewed as factors warranting caution.
The Nikkei Volatility Index is an indicator of the expected movement in the Nikkei Stock Average over the coming month. It tends to rise sharply when share prices plunge.