A sharply falling gold and a firmly standing Nikkei 225. A situation where the safety myth is shaken

On Monday at the start of the week, the Nikkei seemed to be on a path to fall below 50,000 yen, but in reality it dropped to an intraday low of 50,688 yen beforeclosing at 51,515 yen, showing a more resilient move than expected. It’s a much steadier performance than anticipated.

On the other hand, gold and the S&P are clearly weak. In particular, gold has fallen by nearly $1,000 over the past few days, plunging from the peak in the $5,000 range to the $4,200 range. This is an unusually large drop and reflects actual market movements.

The background is simple: money is concentrating in the dollar. In other words, a risk-off environment and a high-interest-rate environment are progressing simultaneously. With oil prices rising due to worsening Middle East tensions, inflation rekindling, and ongoing expectations of high rates from the Fed, real yields have risen, making gold a tough sell.At the same time, the dollar is strengthening, putting pressure on dollar-denominated assets overall.

What’s particularly interesting is the relative strength of Japanese stocks.The yen’s depreciation has not completely collapsed yet, and earnings expectations for exporters may be providing a floor. Nevertheless,the direction is limited while the NY market is closed, and a full verdict remains to be seen.

In the short term, the move after the NY open will be key. Will the S&P and gold further deteriorate, or will they stabilize for a while? In particular, whether gold will test the $4,000 level or rebound is a very important moment.Honestly, even gold, regarded as a safe-haven asset, dropping this much offers a big lesson.

Overall, it’s a somewhat skewed picture where “money is fleeing to the dollar while Japanese stocks hold steady.”Some believe that the U.S.-Japan talks are being viewed positively, or that expectations for the 11 trillion yen in U.S. investment are influencing sentiment.This seems likely to be the next key point