Tokyo stocks were slightly higher at the afternoon-session open and continued to trade near the previous day's close without a clear direction. Rising U.S. stock futures and movements in AI- and semiconductor-related stocks are providing clues for the market.
The Nikkei average opened the afternoon session slightly higher, up ¥51.87 from the previous day at ¥66,314.03. While some high-priced AI and semiconductor stocks continued to come under selling pressure, rising U.S. stock futures in after-hours trading supported investor sentiment. With no new market catalysts, the Nikkei was moving directionlessly near the morning-session close.
At the morning close, the Nikkei average was slightly lower, down ¥97.97 from the previous day at ¥66,164.19. In the morning, investors initially focused on Nvidia's strong earnings, but buying failed to continue. The TOPIX was essentially flat, up 3.68 points at 4,114.70. Trading volume was approximately 974.67 million shares, and trading value was approximately ¥4.2745 trillion. By sector, marine transportation, other products and pharmaceuticals declined, while nonferrous metals, electric appliances and mining advanced.
As of 10:00 a.m., the Nikkei had at one point risen ¥692.53 from the previous day to ¥66,954.69, but its gain has since narrowed. Market participants said that high-priced AI- and semiconductor-related stocks such as Advantest and Tokyo Electron appeared to be facing selling pressure. Some market participants saw no negative news, while others said that expectations for earnings through the previous day were being viewed as a case of the catalysts having been exhausted.
The Nikkei opened up ¥513.62 from the previous day at ¥66,775.78. After Nvidia released its earnings during the latter half of U.S. trading, its share price rose in after-hours trading. This prompted buying in AI- and semiconductor-related stocks.