The Nikkei Average rose for a 3rd straight day, ending trading at ¥61,248.59, up ¥789, and although it recovered the previous day’s level, it has yet to reach the 200-day moving average. Following the decline triggered by a stronger-than-expected US CPI reading, the rebound continued on buying back of AI-related stocks and strength in selected issues.
Following the decline in the previous day’s US market after CPI exceeded market expectations, dip-buying emerged in the Japanese market in the afternoon, and the Nikkei Average reversed from negative territory and moved higher. CoreWeave’s earnings passed without surprises, providing reassurance, and the share price was also seen rising in after-hours trading.
AI-related stocks, including Advantest and Furukawa Electric, performed well, while reports that Anthropic’s valuation could reach as much as ¥1.4 trillion supported investor sentiment. Market participants indicated that downside room was limited, while pointing to continued range-bound trading in the ¥60,000 range.
The Nikkei Average closed at ¥61,248.59, up ¥789.01 from the previous day (+1.31%). The TOPIX rose to 3,929.39 points, the Tokyo Stock Exchange Prime Market Index to 2,025.18 points, and the TSE Growth 250 to 757.73 points. Trading value was ¥8.696813 trillion, and volume was 2.71951 billion shares.
Market attention shifted to US monetary policy, with views spreading that the probability of a rate hike in December would increase. Many market participants said that a recovery of the 200-day moving average would determine the market’s direction from here.