[Today's Market] April 30 — Market is Soft; Can It Rebound Tomorrow?

In the Tokyo market on the 30th, selling spread across a wide range of stocks from the open.
The Nikkei Stock Average ended at 59,284 yen, down 632 yen from the previous day.

In the previous day's U.S. market,the Dow Jones Industrial Averagefell,the Nasdaq Compositerose slightly.

Crude oil prices rose again into the $110s per barrel,
and with expectations of higher interest rates piling on, the market moved with a heavy tone at the top.

After-hours,
Amazon,Microsoft,Alphabet announced broadly favorable earnings.

Nevertheless, the Tokyo market after the holiday opened with selling predominating.

Not only semiconductors, but a broad range of stocks felt the selling.
More pronounced declines in the TOPIX compared to the Nikkei Average.

On the other hand, Shin-Etsu Chemical Co., Ltd., which announced a decline in earnings and no dividend, moved into positive territory..

There are stocks that are being bought despite negative news,
and on an individual basis, there are signs of change.

Furthermore after-hours,Laser Tech announced solid earnings.

However, in after-hours trading there was no notable reaction.

Additionally, after today’s US market close,
Apple’s earnings are due.

A key event that could influence the tech sector’s trend.

And the forex market is also moving sharply.

Tonight, in Japanese time, the dollar-yen rate briefly surged toward the 155 level, signaling a rapid yen appreciation.
This raised expectations of Bank of Japan intervention.

◆Today’s Market Summary

・Nikkei Average ended down 632 yen at 59,284
・U.S. markets showed little directional bias
・Oil at higher levels and expectations for higher interest rates kept topside pressure
・Tokyo market broadly down, TOPIX lagging
・Funds flowed into individual stock stories
・Laser Tech posted solid earnings but after-hours impact was limited
・Apple earnings ahead; forex moved quickly toward yen strength

◆Investor Memo

Today’s market is weak.

However, it is not merely simple weakness.

There are stocks that are being bought despite negative news, and semiconductors’ reaction to earnings has dulled.

Meanwhile, sharp moves in the currency, higher oil prices, and rate expectations remain.

The external environment remains unstable.

Today, Apple’s earnings are due.

It will be interesting to see how the tech trend shifts here.

Moreover, tomorrow is the last trading day before the long holiday.

Will the market continue to slide, or recover to close higher?

Will it close in a way that connects to after the holidays?

This is a crucial juncture to watch closely.