As concerns over US politics eased, the Nikkei rebounded from the opening. It started approximately 300 yen higher than the previous day, and the gain temporarily exceeded 400 yen.
At the opening of the morning session on the 5th, the Nikkei started approximately 300 yen higher than the previous day, as the risk-averse mood in the Tokyo market began to ease. Broad-based buying was seen across stocks, and buying momentum strengthened as the session progressed.
In the US market, the Dow rebounded sharply, and concerns over US politics eased. This led to gains in US stocks spilling over into the Japanese market, prompting broader expectations that investors’ risk tolerance would increase.
A sharp drop in crude oil prices was also cited as a factor improving investor sentiment, with front-month WTI falling into the low $87 range. Some market participants took the view that lower oil prices would benefit corporate earnings and the economy.
Among individual stocks, Fast Retailing, Recruit, and KDDI rose, while SoftBank Group, Advantest, and TDK fell.