The Nikkei 225 opened lower, as renewed concerns over the situation in the Middle East and Tesla’s cut to its capital investment plan weighed on the market. Reports of an oilfield attack, a factor driving crude oil futures higher, were also reported.
At the start of Tokyo trading, the Nikkei 225 opened at ¥64,570.68, down ¥50.56 from the previous day, or 0.08%, despite a sharp rise in US stocks.
Concerns over a deterioration in the Middle East situation have resurfaced, while the direction of Nasdaq futures has also weighed on the market.
Major automaker Tesla cut this year’s capital investment target from more than $25 billion to $20 billion, while SpaceX also fell in after-hours trading.
2 people were killed in an attack by the Houthis on a Saudi Aramco oilfield. There has also been speculation that the US and Israel may consider attacking Iran after the US midterm elections, heightening concerns over energy supplies.
Crude oil futures rose on concerns over energy supplies.