Today's Tokyo stock outlook = high prices are heavy, strong US stocks support US Treasury personnel affairs have been factored in

11/26/2024 8:06 AM GMT+9

Heavy price movements in the Nikkei Stock Average are expected to rise in today's Tokyo Stock Market. While stock appreciation in the US market the day before supports the market price, the Treasury Secretary's personnel affairs, which were viewed as good news in the US market, have already been factored in the Tokyo market the day before, and it seems that price increases will be limited.
The forecast range for the Nikkei Average is 38,500 yen to 39,000 yen.
The Nikkei Average is likely to be preceded by purchases that are favorable to the appreciation of US stocks the day before. Meanwhile, while US interest rates are falling, US NVIDIA stocks are falling, the Philadelphia Semiconductor Index (SOX) has only risen slightly, and the upward momentum of semiconductor-related stocks with a high degree of contribution to the Nikkei Average may be limited.
There is a view in the market that “there is an impression that NVIDIA's upward momentum has peaked out” (Ryuta Otsuka, strategist at Toyo Securities). A fall in interest rates could be a headwind for financial stocks such as bank stocks, etc., and a fall in crude oil could be a headwind for petroleum-related stocks, respectively. The dollar/yen is swinging slightly in the direction of yen appreciation, and expectations are low as material to boost the market price.
It is said that the cumulative trading price is large around the psychological milestone of 39,000 yen on the Nikkei Average and “it is easy to sell while waiting for return or to determine profit” (Mr. Otsuka of Toyo Securities).

In the US market, the decline in US bond yields was well received, and the 3 major stock price indices continued to grow, and the transaction was closed. Some investment strategists anticipate that Mr. Scott Bessent, a famous investor appointed by President-elect Trump as Secretary of Treasury, will aim to control the budget deficit while maintaining Mr. Trump's economic policy promises. The Russell 2000 Index (.RUT), which consists of small and medium-sized stocks, hit a record high.
Today, the October corporate service price index and monthly economic report will be announced domestically. In the United States, there are announcements of Federal Open Market Committee (FOMC) agenda summaries (11/6-7), housing-related indicators, and the November Consumer Confidence Index.