Tokyo market on the 27th was a day of overlapping factors—ex-dividend, weekend, and fiscal year-end—creating a swirl of speculation.

The Nikkei Stock Average closed down 230 points at 53,373 yen, landing with little direction and a cautious, subdued tone.

In the prior US session, concerns about a prolonged Middle East situation grew as the US military dispatched additional forces, with both the Dow and Nasdaq declining.

Heightened geopolitical risk continued to cap their upside.

Against this backdrop, before the trading day began in Tokyo, President Trump announced an extension of the 10-day period for attacking Iran's infrastructure facilities.
Launch of trading started with a continued sense of caution.

In the first half of the session, the market traded in negative territory, but the situation changed somewhat in the afternoon.

Bottom-fishing to capture dividends and shareholder benefits prompted some buying, with the index temporarily moving into positive territory.

However, that momentum did not last long.

In addition to the Middle East uncertainties, position adjustments ahead of the weekend and year-end factors contributed to renewed downward pressure.

As a result, there was little reason for aggressive buying, and the market closed with subdued activity.

Although index movements were limited that day, there were clear fund flows into individual stocks.

[1514] Sumitomo Heavy Industries & Metals rose to a limit-up.

It announced that it had received the dividend for the second half of the 2025 fiscal year for the Class B shares of a subsidiary's Australian company.

The receivable amount totaled 1.21 billion yen in yuan terms, and strong buying followed as this was viewed as positive news.

Following this move, the mining sector led in gains.

Even when the overall index is less responsive, the market continues to attract funds toward stocks with positive catalysts.

◆Today's Market Summary

・Nikkei: down 230 points to 53,373 yen
・US markets fell on Middle East concerns
・Tokyo market faced ex-dividend, weekend, and year-end factors
・Afternoon saw some positive activity driven by dividend buying
・Sumitomo Heavy Industries & Metals hit limit-up, mining sector led gains

◆Investor Notes

Even looking at today's price moves, the market's leadership remains tied to Middle East developments.

Trump’s statements and military actions can swiftly alter the market’s direction.

Considering that important judgments or remarks are concentrated over the weekend, this coming week's market could see significant moves at the opening.

Will there be an invasion, or will a ceasefire be pursued?

Missing this turning point could lead positions to swing sharply in the opposite direction.

There is no need to force moves; prioritizing situational assessment is essential.

Remain patient, and wait for a clearer trend to emerge.