The Nikkei Average fell back in the Tokyo market on 21 August as US long-term yields rose. With the Jackson Hole meeting scheduled for this week, investors appeared inclined to wait and see, while AI-related stocks remained firm.
The Nikkei Average closed at ¥66,016.36, down ¥200.43 from the previous day, marking a decline. US long-term yields rose after the US Treasury announced that it would raise the cap on purchases and redemptions of long-term bonds, prompting selling across a broad range of stocks in the Tokyo market.
However, the Nikkei Average showed some resilience after the initial selling subsided, while AI- and semiconductor-related stocks including Kioxia Holdings, Tokyo Electron and Lasertec remained firm. SoftBank Group, meanwhile, declined.
The key event this week is the US economic symposium, the Jackson Hole meeting, to be held on 27 August. Fed Chair Warsh is scheduled to make his first appearance, and market attention is expected to focus on the outlook for interest rates and concerns over higher crude oil prices.
In the US stock market on 21 August, the Dow Jones Industrial Average at one point rebounded, rising $517.80 from the previous day. However, concerns over higher crude oil prices resulting from the ongoing rise in long-term yields and uncertainty surrounding the situation in the Middle East have not been completely dispelled.