The forecast range for the Nikkei Average next week is reported to be ¥62,000-¥68,000. This week, the Nikkei Average fell sharply amid concerns about U.S. inflation and a correction in AI-related stocks, and market focus turned to AI-related stocks ahead of next week's earnings announcements.
The Nikkei Average fell sharply this week against the backdrop of concerns about U.S. inflation and a correction in AI-related stocks, ultimately ending trading at ¥65,324.29, down substantially from the previous weekend. In the United States, an upside surprise in CPI pushed up long-term interest rates and put downward pressure on technology stocks, while a sharp drop in CoreWeave's share price and corporate bonds heightened concerns about the profitability of AI investment. The Nikkei posted its third-largest decline on record on the 15th and rebounded on the 16th as an autonomous rebound, but only recovered to a key level.
Next week's earnings reports from AI-related stocks are likely to influence the direction of the market as a whole, with attention expected to focus on the results from IBM and Lam Research, as well as domestic earnings reports from Disco and Fanuc. Movements in the U.S. SOX Index and the release of China's GDP data are also expected to affect stock selection in the Machinery and Materials sectors. In Japan, earnings from Disco and Fanuc will be the focus, while buying could also spread to domestic-demand stocks with strong earnings and lagging cyclical stocks.
Among individual stocks, this week's top gainers included Cluster Technology, Wintest and Showcase, while the biggest decliners included AIメカテック, Nais, Terra Probe, Intrans and Kioxia Holdings. Stocks with high trading volume included Land, OncoTherapy Science and NTT, with many stocks moving in line with the broader market.
Suzuki, Cover and Capcom were highlighted as stocks to watch next week, with growth themes including growth in the Indian market, monetization of intellectual property and expansion into smartphone games, respectively. Attention will also need to be paid to the impact of U.S. earnings announcements on the market and the schedule for domestic economic data releases.