[Today's Market] April 10th｜Nikkei is strong. But the market is weak

Tokyo market on the 10th saw a large rise in the Nikkei Stock Average.
It closed at 65,924 yen, up 1,028 yen from the previous day.

However,

the index does not reflect how strong the market is.

In the U.S. market the previous day,SOX indexrose, leading to gains in tech stocks.

Dow Jones Industrial Average・Nasdaq Compositealso finished higher.

Following this trend, Tokyo market also saw funds concentrated in semiconductors and other leading stocks from the open.

Moreover, Fast Retailing surged on strong earnings.
One stock alone pushed the Nikkei average up by about 650 yen.

If you look at the index alone, it was a very strong day.

But behind the scenes,

・TOPIX finished in negative territory
・More decliners than advancers

the underlying gains were weak

This is how the day felt.

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◆Today’s Market Summary

・Nikkei ends up sharply at 65,924 yen, up by 1,028 yen
・U.S. market rose led by tech (SOX index up)
・Funds concentrated in semiconductors and leading stocks
・Fast Retailing pushed the index up significantly
・TOPIX fell, decliners were ahead

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◆Investor Notes

Today’s market holds a quite important point.

“A market that is deceived by the index”

is the case.

If you only watch the Nikkei 225,

・The market looks strong
・You may feel you are missing out

That is easy to feel.

But in reality,

“Only some stocks are strong

This misalignment can significantly change your judgment depending on whether you notice it.

Today, the square of the index (SQ) passed.

And over the weekend, there is a possibility that Middle East tensions will continue to move.

The situation is more unstable than it appears.

Now that things look somewhat strong,

maintaining some distance and watching calmlyis required.

This is not a time to chase in a hurry.

First, assess the market for the early week, and when entering, use a “probing buy.”

This is what I would keep in mind.