Today's stock outlook = softness, dislike of US stock prices, semiconductor-related stocks selling caution

TOKYO (Archyde.com) – Today’s Tokyo stock market is expected to see a soft run in the Nikkei 225 stock average after the decline in US stocks on the previous day. Since semiconductor stocks have fallen in the US stock market, it is said that selling pressure is likely to be applied to semiconductor-related stocks that have a large contribution to the index in the Tokyo market. Although the government’s border measures will be eased from today, there is a possibility that domestic demand stocks will support the market, but there was a view that the deterioration of the external environment was likely to weigh on the market.

The expected range for the Nikkei Stock Average is 26,500 yen to 26,800 yen.

On the previous day, all three major US stock indexes fell. High-tech stocks and semiconductor stocks have sold off as the U.S. government tightens restrictions on exports of semiconductor manufacturing equipment to China. Investors are also deeply concerned about the impact of the central bank’s continued interest rate hikes.

Today’s Japanese stock market is likely to start falling again following the downward trend of US stocks. In particular, the Philadelphia Semiconductor Index (SOX Index) fell 3.4%, and some semiconductor-related stocks are likely to sell more. Since these semiconductor-related stocks have a large contribution to the Nikkei Stock Average, the downward pressure on the index is likely to increase.

It was also pointed out that the deterioration of the external environment would cool investor sentiment. With the recovery in the number of people accompanying China’s National Day, “In addition to being wary of an increase in the number of people infected with the new coronavirus in China, rising geopolitical risks such as the Russian military’s missile attack on Ukraine have weighed on the market. I think it will be,” said Ryuta Otsuka, a strategist at Toyo Securities.

From today, the new corona’s border measures will be greatly eased, and domestic demand stocks may be supported, but Otsuka said, “Given the major adjustment in US stocks and geopolitical risks, it is unlikely that prices will rise significantly. ” he said.

In terms of the main schedule, in Japan, the balance of payments (Ministry of Finance) will be announced in August, and Takashimaya and J. Front Retailing will announce financial results.

Closing price of the previous business day High price since the beginning of the year Low price since the beginning of the year

Nikkei Average 27116.11 29388.16 24681.74