The Nikkei Stock Average temporarily recovered the ¥70,000 level. Buy orders spread across AI and semiconductor-related stocks as US employment indicators deteriorated and expectations for an early additional rate hike receded.
The Nikkei Average rose rapidly in Monday's Tokyo market, gaining about ¥1,600 at one point. This brought the index back above the ¥70,000 level for the first time in about 3 months.
Reports said the backdrop was US employment growth falling well below market expectations, leading to a retreat in expectations that the Federal Reserve would raise rates at its meeting this month. Investor confidence spread and buy orders increased, according to the reports.
Buying expanded from shortly after the start of trading in the Tokyo market at the start of the week, and the Nikkei Average returned above the ¥70,000 level during trading for the first time since 6 July. Reports indicated that AI and semiconductor-related stocks drove the market higher at one point.
Multiple related news reports covering market developments were published, and market participants are closely watching the outlook.