[Tokyo 2nd Reuters]–The Nikkei Stock Average is expected to continue to grow on the Tokyo Stock Exchange today. Three major indices rebound in the overnight US stock market. The yen is depreciating in the foreign exchange market as well, which is likely to be a tailwind for major stocks.
The expected range of the Nikkei average is 28,200 yen to 28,400 yen.
The US stock market closed on the 1st, rebounding from the sharp drop last week. IT (information technology) stocks led the rise, enthusiastic buying by individual investors shifted to silver, and mining stocks also rose. Attention is also focused on the whereabouts of discussions on additional economic measures.
The current dollar / yen pair is in the mid 104.90 yen range, and the yen has been depreciating since the mid 104.60 yen range as of 3:00 pm the day before. At one point, it rose to 105.03 yen, and there were some scenes where it reached the highest price since November 16th last year. The Nikkei 225 futures March contract (yen denominated) liquidation price in Chicago was 28,295 yen, which is higher than the spot closing price on the previous day. The depreciation of the yen and the appreciation of US stocks are likely to be a tailwind for Japanese stocks.
Ryuta Otsuka, a strategist at Toyo Securities, said, “The conflict between individual investors and short-selling funds, which had been wary last week, has calmed down, and the market is becoming more secure. In response to the sharp rise in stock prices, the Tokyo stock market is likely to buy mainly high-tech stocks. “
The government is expected to decide to extend the period of the state of emergency issued by February 7 due to the spread of the new coronavirus infection. The market said, “The extension of the state of emergency has already been factored in. Individuals are likely to have some impact, but the index as a whole will be limited” (domestic securities).
The main schedule is to announce the financial results of companies such as Panasonic, Mitsubishi Motors, Mitsubishi Electric, Sumitomo Mitsui Financial Group in Japan, Alphabet, Amazon.com in the United States. In addition, the United States is refraining from announcing the number of US automobiles sold in January.
Last business day closing price Last year’s high price Last year’s low price
Nikkei average 28091.05 28979.53 16358.19
+427.66 January 14, 2021 March 19, 2020
Chicago Nikkei Average Futures March 28295 (yen denominated)