Tokyo Stock Market Continues to Fall, Dollar/Yen Exchange Rate Appreciates, and Speculation on Negative Interest Rates Rises

On the morning of March 7, the Nikkei Stock Average continued to fall at 39,731.17 yen, down 359.61 yen from the previous business day. The photo was taken in August 2015 at the Tokyo Stock Exchange in Tokyo (2024 Reuters / Yuya Shino)

TOKYO (Reuters) – On the Tokyo stock market, the Nikkei average continued to fall, falling 359.61 yen from the previous business day to 39,731.17 yen. In the morning, the dollar / yen exchange rate continued to move in positive territory and reached a new all-time high, but following the observation report of the Bank of Japan, the dollar / yen exchange rate continued to appreciate and fell into negative territory. With a Major SQ (special liquidation index calculation) scheduled for tomorrow, there was a view that the move to eliminate arbitrage buying transactions was also weighing on stock prices.

During trading hours, Bloomberg said some government officials were open to raising negative interest rates in March or April. The dollar/yen pair, which was in the 149.20 yen range in the morning, at one point fell to the 148.50 yen level, weighing on stock prices. In the market, one domestic securities analyst said, “The key point is that it was approved by government officials, not the Bank of Japan. The possibility of lifting the ban in March has increased.”(Domestic securities analyst) The price range of the Nikkei Stock Average in the previous session was about 790 yen above and below, with wild price movements, and at one point it fell more. than 410 yen to 39,680 yen.73.

Hiroshi Namioka, chief strategist at T&D Asset Management, said in his analysis, “Selling accelerated due to a combination of factors, including a series of speculative reports on the Bank of Japan, comments from the Bank of Japan’s advisory committee, and related trading. to main SQ.”The Nikkei Stock Average has been rising rapidly so far, and we have now reached a point where we need to reconsider the valuations of the valuations, including those related to AI (artificial intelligence ) and semiconductors, which have been leading. the progress.”

TOPIX closed the morning session at 2,724.09 points, down 0.24%. The trading value on the TSE primary market was 3,175,297 million yen. Among the 33 industries on the TSE, prices fell in 18 industries, including transportation equipment, shipping, rubber products, and steel, while prices rose in 15 industries, including insurance, other finance, and mining.

Among major stocks, Tokyo Electron (8035.T), opens a new tab and Advantest (6857.T), opens a new tab fell more than 3%, pushing down the Nikkei average by about ¥211. SCREEN Holdings ( 7735.T), opens a new tab down more than 4%. In addition, Toyota Motor Corporation (7203.T), opens a new tab, TDK (6762.T), opens a new tab, and Quick Retail (9983.T), opens a new tab also not detected. KDDI (9433.T), opens a new tab and Recruit Holdings (6098.T), opens a new tab firmly.

In terms of the number of rises and falls in the TSE prime market, 670 stocks rose (40%), 934 stocks fell (56%), and 52 stocks remained unchanged (3%).

* For related information, see the “Related Content” menu on the right side of the screen.

Our Code of Conduct: Thomson Reuters “Principles of Trust”, opens a new tab

#Nikkei #morning #average #continues #fall #reports #Bank #Japan #policy #leading #trades #related #Major #Reuters