The Nikkei Volatility Index (Nikkei VI) rose sharply. Market volatility risk is increasing against the backdrop of escalating tensions in the Middle East.
As of 14:05, the Nikkei VI had risen sharply to 31.90, up 6.91 from the previous day, a 27.65% increase. It traded as high as 32.07 and as low as 31.49 today.
In US markets, the Dow fell 0.45% and the Nasdaq also declined. Against the backdrop of overseas market trends with the Tokyo market closed, developments in overseas markets became a factor of concern for the Japanese equity market. Rising crude oil futures prices and US long-term interest rates were cited as factors of concern.
Although Nikkei 225 futures remained firm at times in the afternoon, concerns over rising volatility persisted, and the Nikkei VI traded above its level on the 10th.
The Nikkei VI tends to rise during sharp market declines and, after rising, revert to a range of around 20 to 30. It may continue to fluctuate depending on developments in the situation.