The Nikkei Stock Average is expected to trade within a ¥59,500-¥63,500 range next week. Attention will focus on the battle around ¥62,000, the 200-day moving average, and the performance of domestic-demand and financial stocks with strong earnings.
The Nikkei Stock Average rose this week on the back of a rebound in AI and semiconductor stocks, recovering to the ¥60,000 range. At the weekend close of the week from 9 to 13 November, it stood at ¥61,142.35, marking a significant rise from the previous week. The market attempted to extend its recovery while factoring in a weaker yen and higher oil prices.
SoftBank Group's report on 10 November that it had posted a ¥768 billion net loss for the first half weighed on its share price and cast a shadow over the Nikkei's performance. In the US market, expectations for rate hikes strengthened following the CPI result, and there were periods of rising long-term interest rates.
On 12 November, concerns surrounding a change in NVIDIA's CEO spread, prompting a decline led by AI and semiconductor stocks, although funds continued to flow into domestic-demand and strong-performing stocks. Buying returned toward the end of the week, providing support for the overall market.
Next week, the focus will be on the battle around ¥62,000, where the 200-day moving average is located. The preliminary GDP figure, economic indicators in Japan and overseas, and NVIDIA's earnings announcement could influence the market's direction. The release of the FOMC minutes and US retail sales data will also attract attention, and domestic-demand and financial stocks may become active again depending on developments in AI and semiconductor-related stocks.
Key events to watch next week include US corporate earnings, major domestic indicators, and NVIDIA's earnings announcement. Earnings releases are scheduled across a broad range of sectors, including financials, electric power and capital goods, and could influence the market's direction.