The Nikkei 225 is expected to decline in Tokyo on the 8th, with losses in U.S. stocks likely to weigh on the market. Ahead of earnings season, expectations for upside earnings surprises are expected to provide downside support.
The Nikkei 225 is expected to extend its decline in the Tokyo stock market on the 8th. Following declines in the previous day's U.S. market, particularly among technology stocks, selling is expected to emerge in major Tokyo-listed stocks as well.
However, ahead of the earnings season that will gain momentum from late this month, expectations for upside earnings surprises remain high, and buying on dips is expected to provide support. The downside target for the Nikkei 225 is expected to be around ¥69,000, below the previous day's close of approximately ¥70,000.
In the U.S. stock market on the 7th, the Dow Jones Industrial Average declined, pointing to a possible spillover of weakness in the U.S. market into Japan.