Nikkei tops 70,000, but fails to hold on at the close
The Nikkei 225 closed at 69,946 today, up 2.4%—a gain of 1,637 points in a single day. It hit an intraday high of 70,072, its first time touching 70,000 since July 6, but finished 53 points short. Tokyo Electron, Advantest, SoftBank and other semiconductor and AI stocks led the gains.
The trigger was still Friday’s U.S. nonfarm payrolls report: just 29,000 jobs were added in September, below expectations, pushing back expectations of another early Fed rate hike. Japanese stocks were quick to take heart from that.
Here’s the contrast: the Nikkei is back at a three-month high, but the 10-year Treasury yield is still around 5.25%, and tensions in the Middle East haven’t eased either. A rally in overseas stocks doesn’t mean borrowing costs have come down.
I’ll first watch to see whether U.S. stocks can keep the momentum going ahead of Wednesday’s Fed minutes. If risk appetite really does improve, I’ll add to my positions gradually.
#Nikkei225 rises 2.5% to a three-month high $BTC
The Nikkei 225 closed at 69,946 today, up 2.4%—a gain of 1,637 points in a single day. It hit an intraday high of 70,072, its first time touching 70,000 since July 6, but finished 53 points short. Tokyo Electron, Advantest, SoftBank and other semiconductor and AI stocks led the gains.
The trigger was still Friday’s U.S. nonfarm payrolls report: just 29,000 jobs were added in September, below expectations, pushing back expectations of another early Fed rate hike. Japanese stocks were quick to take heart from that.
Here’s the contrast: the Nikkei is back at a three-month high, but the 10-year Treasury yield is still around 5.25%, and tensions in the Middle East haven’t eased either. A rally in overseas stocks doesn’t mean borrowing costs have come down.
I’ll first watch to see whether U.S. stocks can keep the momentum going ahead of Wednesday’s Fed minutes. If risk appetite really does improve, I’ll add to my positions gradually.
#Nikkei225 rises 2.5% to a three-month high $BTC
