Tokyo Market Summary: Nikkei Average falls broadly, semiconductors are heavy even when bought, and TOEREC plummeted by over 7%

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Yen exchange rate, “unable to intervene” observation speculators that have disappeared revise their strategy
In the foreign exchange market, speculators such as hedge funds are revising their yen selling strategies. This is because the Japanese government and the Bank of Japan seem to have intervened in the yen purchase exchange on the 11th and 12th, and the observation that “the Japanese currency authorities cannot intervene,” which had spread until then, has been counteracted.
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Gold hits the highest price at home and abroad, and capital inflows due to growing expectations for lower US interest rates
The rise in gold (gold) prices is unstoppable at home and abroad. On the 17th, the retail price announced by Tanaka Precious Metals Co., Ltd., the largest bullion dealer in Japan, hit the highest price. New York futures (central month), which is an international indicator, hit a high for the first time in 2 months on the 16th. Gold prices rose in the international exchange rate against the backdrop of growing expectations for a reduction in US interest rates, and it also spread to domestic prices.

Featured stocks
East Elec plummeted 7% due to reports surrounding the Biden administration's semiconductor regulations against China◇
$Tokyo Electron (8035.JP)$has plummeted 7%, depressing the Nikkei Stock Average. US Bloomberg News Agency reported on the 17th that the United States is considering using a measure called the Foreign Direct Products Rule (FDPR) regarding semiconductor regulations against China by the US Biden administration. It is a rule that allows restrictions to be introduced to foreign products that use even a small amount of American-made technology, and if actually implemented, TOELEC or $ASML Holding (ASML.US)$It is reported that the Chinese business will be tightened. In addition to this at the Tokyo market, $Screen Holdings (7735.JP)$Ya $Disco (6146.JP)$、 $ULVAC (6728.JP)$、 $Lasertec (6920.JP)$etc. have been drastically reduced.

Komatsu continues to grow drastically, updating high prices since listing, and following the Trump trade trend with North American expansion
$Komatsu (6301.JP)$There was a scene where it chased the price increase every day and ran up to 5131 yen, which was 244 yen higher at one point. The day before, it also showed an increase of about 140 yen, and the trend was remarkable, but today the buying momentum strengthened even more, and the high price of 4998 yen since listing reached on the 4th of this month was surpassed by the Taiyo Line and returned to the highest price road. In the United States, it seems that the possibility that former President Trump will win the November presidential election after a shooting incident has increased, and the “Trump trade,” which anticipates policy one step ahead, is becoming active.

Toho appreciated the increase in sales and profit of over 2 digits in the first quarter financial results due to strong performance in the film business, which continued to grow drastically by about 12%
$Toho (9602.JP)$It continued to grow drastically along with business, and there was also a scene where it temporarily recovered to the 5,000 yen level, which was 11% higher. It seems that the market is evaluating that the first quarter financial results for the fiscal year ending 2025/2, which were announced on the 16th, landed on a 2-digit increase in sales and profit due to strong performance in the main film business.

Nexon continues to rise... breaking year-to-date highs Morgan Stanley MUFG Securities raised target stock price from 3400 yen to 4000 yen
$NEXON (3659.JP)$It continued to grow, and the year-to-date high was updated. It seems that the fact that Morgan Stanley MUFG Securities continued the investment decision “overload” and raised the target stock price from 3400 yen to 4000 yen is used as stock price evaluation material.

Suzuki will gradually launch EVs on the market next year and onwards - no need for excessive batteries
$Suzuki Motor (7269.JP)$On the 17th, the policy to sequentially introduce electric vehicles (EVs) from next year onwards was clarified. Also, the company indicated a policy to develop EVs that run with little energy, assuming that excessive amounts of batteries are not required.