The Nikkei continued to trade in a narrow range during the morning session on the 3rd on the Tokyo stock market. Buying aimed at a technical rebound entered the market against a backdrop of higher U.S. stocks, while concerns about rising interest rates limited the upside.
The Nikkei traded in a narrow range at the opening of the morning session on the 3rd on the Tokyo stock market, rising to the ¥64,700 level in the morning before turning lower again. Buying aimed at a technical rebound in Japanese stocks provided support for the market at times, but buying momentum weakened toward the afternoon session.
In the U.S. market on the 2nd, the Dow Jones Industrial Average rebounded for the first time in 4 trading days, closing up $295 from the previous day at $53,061. Market expectations regarding the Federal Reserve's interest-rate and inflation outlooks worked effectively, prompting a short-term rebound in major stocks.
Meanwhile, the upside for Japanese stocks remained limited, as expectations of higher interest rates driven by elevated crude oil prices and tensions involving the United States weighed on market sentiment. New York crude oil futures remained elevated in the $90 range, and concerns about interest-rate trends remained strong.
Among individual stocks, SoftBank Group, Recruit and Nitori Holdings rose, while Fast Retailing, Advantest and Ibiden declined.