The Nikkei average rebounded. It ended the morning trading at 38,190.85 yen (+239.05 yen, +0.63%) with an estimated volume of 0.6 billion 60 million shares.

The U.S. stock market rebounded on the 21st. The Dow Jones Industrial Average rose 55.52 dollars (+0.14%) to 40,890.49 dollars, the Nasdaq rose 102.05 points (+0.57%) to 17,918.99, and the S&P 500 rose 23.73 points (+0.42%) to 5,620.85 at the close. It was bought in anticipation of a rate cut due to a significant downward revision of the number of employees for the one-year period until March, and it rose after the opening. Some strong retail earnings supported the market, and high-tech stocks were also bought due to a decline in long-term interest rates, keeping the market steady all day. It briefly stalled due to adjusting sell orders ahead of Chairman Powell's speech, but it rebounded again as the Federal Reserve Board (FRB) indicated a rate cut in September in the summary of the Federal Open Market Committee (FOMC) minutes for the July meeting, and ended with buying.

Following the rise of the U.S. stock market, the Tokyo market started trading with a buying preference. Although there were moments when the Nikkei average dropped to 37,883.86 yen due to concerns about the yen's strength, it turned around after some selling and buying, gradually increasing its gains led by futures. There were scenes where it temporarily rose by more than 400 yen from the previous day and reached the highest level since August 1st. However, the trading volume on the main board market was 1.8 trillion yen and trading activity did not pick up.

In the Nikkei average adopted stocks, Sumitomo Pharma <4506>, IHI <7013>, Omron <6645> were bought based on positive reports from domestic securities companies. In addition, Eisai <4523>, Chugai Pharmaceutical <4519>, Astellas Pharma <4503>, Shionogi <4507> and the pharmaceutical sector also showed an increase.

On the other hand, Screen HD <7735> became more sell-oriented, and securities stocks such as Nomura <8604> and Daiwa Securities G <8601> were sold due to the decline in US interest rates. In addition, Chiba Bank <8331>, Fukuo <8354>, Concordia <7186>, and other regional bank stocks were sluggish. In addition, Disco <6146>, Okuma <6103>, Toyota Motor <7203> were sold.

In terms of industry, pharmaceuticals, petroleum and coal products, chemicals, warehouse and transportation related industries, and food products rose, while securities and commodity futures trading industry, rubber products, transportation equipment, banking industry, and nonferrous metals declined.

The dollar index continues to be weak, with scenes of breaking through the 100 mark, and it is updating its year-to-date lows. The unwinding of speculative yen-selling positions has eased, but the yen-selling trend is strengthening, and caution should be exercised in the afternoon foreign exchange market for the movement of the dollar. In the afternoon Tokyo market, unless the exchange rate moves significantly, the attitude of watching the situation will strengthen with the start of the Jackson Hole meeting, and the Nikkei average is expected to be in a stalemate around the 38,000 yen level.