In the trading session held 13 days ago, three points stand out.

■ Buy on dips with an awareness of year-end highs.

■ Seibu HD, upward revision for the period ending March 25, operating profit 289 billion yen, up from 45 billion yen.

■ Key materials from the morning session: NTT, commercialization of energy-saving servers, utilization of IOWN, reduced to one-eighth.

■ Buy on dips with an awareness of year-end highs.

On the 13th, the Japanese stock market is likely to start with a slight bearish sentiment, followed by a market development where resilience will be emphasized. On the 12th, the US market saw the Dow Jones Industrial Average down by 234 points and the Nasdaq down by 132 points. The Producer Price Index (PPI) for November exceeded market expectations. Since the previous day's Consumer Price Index (CPI) aligned with estimates, selling pressure arose due to renewed inflation concerns. However, amidst the consensus view for additional rate cuts by the Federal Open Market Committee (FOMC), attention will be paid to the firmness in the lower levels. The clearing price for the Chicago Nikkei 225 Futures (March) was 39,665 yen, down 145 yen compared to Osaka. The yen is trading at around 152.50 yen per dollar.

The Nikkei average is likely to start with a slight bearish sentiment as it aligns with the Chicago futures. In the USA, the Dow Jones Industrial Average has fallen for six consecutive trading days, breaching the 25-day line, but the Nasdaq Index had recently surpassed 0.02 million, making profit-taking more likely. Stocks that significantly impact the index, like Tokyo Electron and Advantest, may see some upward pressure suppressed, however, in Extended hours trading, Broadcom has been bought after surpassing financial estimates, providing some support.

Furthermore, today is the special clearing index calculation for Futures and Single Option (Major SQ), but it is considered likely to pass without turbulence. After passing SQ, there may be lighter supply and demand, and the market may approach the 0.04 million yen stance. Although Nikkei 225 futures declined during the night session, a firmness around 39,500 yen has been noted. If there is observed firmness after the opening within the range of 39,500 yen to 0.04 million yen, movements targeting a breakthrough of 0.04 million yen may occur.

Due to weekend factors, aggressive trading is likely to be restrained, and there may be a heightened mood to wait for the FOMC results next week. However, amidst the consensus for additional rate cuts from the FOMC, it becomes difficult to take bearish positions, while on the other hand, there seems to be strong buying intention aiming for dips. The Nikkei average is likely to see selling aiming for rebounds as it approaches 0.04 million yen, but in a mildly weak scenario, buying may focus on year-end highs.

Seibu HD has announced an upward revision for the fiscal year ending March 2025. Operating profit revised to 289 billion yen from 45 billion yen.

Seibu HD <9024> announced a revision of its performance forecast for the fiscal year ending March 2025. Revenue has been revised from 494 billion yen to 898 billion yen, and operating profit has been revised from 45 billion yen to 289 billion yen. Due to the liquidity of the Tokyo Garden TELUS Kioicho, expectations greatly exceed the previously announced figures.

■ Key materials for the first half of the trading session

The Nikkei average is up (39,849.14, +476.91)

• 1 dollar = 152.50-60 yen

Active share buybacks

• The Tokyo Stock Exchange's request for corporate value enhancement

NTT <9432> commercializes power-saving Servers, utilizing IOWN, reducing by one-eighth.

Mitsubishi Chemical G <4188> revives subsidiary president position, Mitsubishi Chemical has Chikumoto concurrently, Tanabe Mitsubishi has Tsujimura.

Lib Work <1431> collaborates with Teijin for strategic partnership, developing wooden residences with fewer pillars and walls.

JDI <6740> collaborates with a US startup to develop high-resolution thermal Sensors.

Seibu HD <9024> sells the former Akasaka Prince Hotel site to a US fund for 400 billion yen.

Mitsubishi Corporation <8058> investigates low-carbon Aluminum business in Finland.

Toyo Drylube <4976> expands the field of solid film lubrication.

Tekkken Construction <1815> applies cement-free concrete to shield construction.

• Aisin <7259> promoting social implementation of mobility services, leveraging car navigation technology.

• Honda <7267> achieved 4 million units of the 'N Series,' reaching this milestone 13 years after the initial launch.

• Yokogawa Electric <6841> reduces inventory at the Kofu facility through DX and utilizing AI for demand forecasting.

• Iseki Agricultural Machinery <6310> halves the cost of Aigamo robot, making it easier for farmers to adopt.

• Fujitsu <6702> accelerates AI strategy, collaborating with multiple agents.

• TDK <6762> develops compact inductors for wearable devices.

• Info Mart <2492> processes everything electronically from ordering to payment, enhancing the accounting efficiency for NTT Data Kansai and local governments.

• Toda Corporation <1860> prevents the blocking of Wi-Fi signals throughout the entire building.

・Idemitsu Kosan Co., Ltd. <5019> and two other companies are demonstrating biofuel for construction machinery, with sales starting from the beginning of the year.

・Tokyo Tatemono Co., Ltd. <8804> is implementing a logistics facility in Funabashi City, Chiba, equipped with freezing and refrigeration functions.

☆ Morning event schedule

< Domestic >

・08:50 December Survey Bank of Japan Tankan - Major Companies Manufacturing Industry Business Conditions Judgment DI (Financial Estimates: +13, September: +13)

・08:50 December Survey Bank of Japan Tankan - Major Companies Non-Manufacturing Industry Business Conditions Judgment DI (Financial Estimates: +33, September: +34)

・08:50 December Survey Bank of Japan Tankan - Major Companies Overall Industry Capital Investment (Year-on-Year Financial Estimates: +10.0%, September: +10.6%)

・ Nothing special