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Tokyo Market Summary: Nikkei Average Continued Growth Bank of Japan Announces Temporary Government Bond Purchase Operation, Long-Term Interest Rates Close to 1% Upper Limit

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moomooニュース日本株 wrote a column · Nov 1, 2023 01:09
Tokyo Market Summary: Nikkei Average Continued Growth Bank of Japan Announces Temporary Government Bond Purchase Operation, Long-Term Interest Rates Close to 1%...
Hello Moomoo users!Thank you for your hard work. Today's stock price summary is as follows. Thank you in advance.
●The Nikkei Average ended at 3160.65 yen, 742.80 yen higher than the previous business day
● The Bank of Japan has notified a temporary government bond purchase operation, and the long-term interest rate is close to 1% as the upper limit
● Long-term interest rates rise to 0.96%, close to the Bank of Japan upper limit of 1% - high level for the first time in over 10 years
● 13.1 trillion yen with a supplementary budget for the first half of the 17 trillion yen range, including economic measures and tax cuts
● Toyota - Rear Market Increase Expands Full Year Operating Profit Upward Revised Consensus First Half Exceeds Consensus by 2.2 times
● Attention to the handle: $Toyota Motor (7203.JP)$ $Mitsubishi Chemical Group (4188.JP)$ $Toyota Tsusho (8015.JP)$etc.
ー Moo Moo News Japanese stock Evelyn

Market Overview
In today's Tokyo stock market, the Nikkei Stock Average ended at 3160.65 yen, which was 742.80 yen higher than the previous business day, and the TSE stock price index (TOPIX) rose 56.96 points to 2310.68.
Top news
Long-term interest rates rise to 0.96%, close to the Bank of Japan upper limit of 1% - high level for the first time in over 10 years
Long-term interest rates rose to 0.96% in the one-day bond market, the level since 2013/5, and are close to 1%, which the Bank of Japan is aiming for as an upper limit. The fact that the Bank of Japan did not notify temporary government bond purchases due to morning monetary adjustments also led to sales. 

The Bank of Japan announces a temporary government bond purchase operation, and long-term interest rates approach 1% as the upper limit
The Bank of Japan announced on the 1st that it would carry out a temporary government bond purchase operation. As long-term interest rates approach 1%, which the Bank of Japan aims to limit, they showed an attitude of suppressing rapid interest rate increases. This is the first implementation since the Bank of Japan decided to re-revise yield curve control (long and short interest rate manipulation, YCC).

13.1 trillion yen in the supplementary budget for the first half of the 17 trillion yen range, including economic measures and tax cuts
The government has solidified a policy that the 2023 supplementary budget plan, which supports the economic measures to be compiled on November 2, will be around 13.1 trillion yen in the general account. The scale of economic measures is expected to be in the first 17 trillion yen range by combining income tax, which will also begin in 24/6, and related expenses, including fixed tax cuts for residence tax.

Did pressure from the Tokyo Stock Exchange respond, and the number of companies implementing dividend increases - one of the few good news due to sluggish financial results
While the Tokyo Stock Exchange is pressing listed companies for management that is conscious of capital costs and stock prices, an increasing number of companies are implementing dividend increases. While the announcement of financial results for the fiscal year ending July-September was a generally sluggish start, it is one of the few good sources.

Notable stocks
Toyota - Rear Market Increase Expands Full Year Operating Profit Upward Revised Consensus First Half Exceeds Consensus 2.2 Times
$Toyota Motor (7203.JP)$The range of rear field increases has been expanded. The company announced at 13:55 on the 1st that its consolidated operating income forecast for the full fiscal year 24.3 will be revised upward from the previous 3 trillion yen to 4.5 trillion yen (up 65.1% from the previous fiscal year). The market consensus is 4,117.2 billion yen.

Mitsubishi Chemical - Rear Market Increase Expands Full Year Final Earnings Upward Revised First Half Exceeds Plan
$Mitsubishi Chemical Group (4188.JP)$The range of rear field increases has been expanded. The company announced at 13:30 on the 1st that it would revise its consolidated net profit forecast for the full fiscal year 243 upward from the previous 97 billion yen to 135 billion yen (up 40.0% from the previous fiscal year). The market consensus is 95.6 billion yen.

Toyota Tsusho made a sudden rebound for the first time in 3 days, raised the final profit forecast for the current fiscal year due to the depreciation of the yen and increased the dividend forecast
$Toyota Tsusho (8015.JP)$There was a sudden rebound for the first time in 3 days. After trading ended on the 31st, it was announced that the final profit forecast for the fiscal year ending 2014/3 had been raised from 30 billion yen until now to 32 billion yen (up 12.6% from the previous fiscal year), reflecting the depreciation effect of the yen. The annual dividend forecast was also increased by 36 yen and revised to 250 yen (same 48 yen dividend increase), which seems to have been a factor that induces an inflow of investors' funds.

JR West continued to expand drastically, raised earnings and dividend forecasts for the current fiscal year to support inbound recovery, and there was also a stock split of 2
$West Japan Railway (9021.JP)$has continued to increase drastically. After the transaction ended on the 31st, upward revisions to earnings and dividend forecasts for the fiscal year ending 2014/3 and stock splits were announced, which seems to have been viewed as material.

Distribution source: Bloomberg, Nihon Keizai Shimbun, Traders Web, MINKABU
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