Japanese media: The Bank of Japan is expected to raise interest rates by 25 basis points next week, with the pace of hikes potentially accelerating to "once per quarter."
Expectations of a rate hike by the Bank of Japan are intensifying, with Japanese media reporting that the central bank may raise rates by 25 basis points to 1.25% at next week's meeting. The pace of tightening could also accelerate from once every six months to once per quarter. Yen depreciation and rising oil prices have pushed up inflation, serving as key drivers for an accelerated policy shift, although internal divisions remain within the central bank regarding the path of rate hikes.
Express News | According to Kyodo News, the Bank of Japan plans to raise interest rates to 1.25% at its meeting on September 17–18.
In addition to selling driven by aversion to the yen's appreciation, risk-aversion movements have intensified against the backdrop of escalating tensions in the Middle East.
The Nikkei Stock Average fell sharply for the first time in three days, closing down 1,130.51 points at 65,269.33 (estimated trading volume: 2.1 billion shares). With the U.S. market closed for Labor Day, profit-taking spread in reaction to the previous day's steep gains, while export-related stocks were also sold off amid concerns over the strengthening yen, leading to the decline in the Nikkei. The index dropped as low as 65,763.11 shortly after the market opened. However, morning losses in SoftBank Group <9984>, Advantest <6857>, and Kioxia
Mitsukoshi Isetan, Bic Camera, etc. (Additional) Rating
Upgrade - Bullish Code Company Name Securities Firm Previous Revised -------------------------------------------------- <5101> Bridgestone Daiwa Securities "3" "2" <6301> Komatsu SMBC Nikko Securities "3" "2" <6432> Takeuchi Mfg. SMBC Nikko Securities "3" "2" <6674> GS Yuasa SBI Securities "Neutral" "Buy" <6861> Keyence Citigroup "2" "1" Downgrade - Bearish Code Company Name Securities Firm Previous Revised ------
Assess the underlying resilience of semiconductor and AI-related stocks following a round of selling.
[Equity Market Opening Comment] On the 8th, the Japanese stock market is expected to focus on semiconductor and AI-related stocks, amid concerns of a pullback following the previous day’s sharp rise. U.S. markets were closed on the 7th for the Labor Day holiday. With limited flow from overseas investors and little direction from European markets due to their lack of clear cues, trading is likely to remain stagnant. Amid subdued active trading, investors are likely to look for buying opportunities on dips, assessing the underlying strength of semiconductor stocks.
Individuals entrusting equity investment to AI agents
[AI Agent] It has been reported that in the United States, there is a growing trend of automating stock-trading strategies and entrusting their management to AI. The practice of delegating equity
Japan May Have Sold U.S. Treasuries to Fund Yen Intervention
Buoyed by the rally in U.S. semiconductor stocks, buying pressure dominated, pushing the index back into the 66,000 yen range.
The Nikkei Stock Average extended its gains significantly, rising 1,378.90 points to close at 66,399.84 (with estimated trading volume of 2.02 billion shares). On a closing basis, it regained the psychologically significant 66,000 level for the first time in four trading sessions since the 1st. Buoyed by the rise in semiconductor-related stocks in the U.S. market over the previous weekend, buyers in the Tokyo market focused on high-priced technology stocks, widening the Nikkei's advances toward the end of the morning session and pushing the index as high as 66,668.71. In the afternoon session, profit-taking emerged in reaction to the rapid ascent.
According to SBI Securities (intraday data), SoftBank Group saw net selling, while Terra Drone saw net buying.
For saleCode Stock Name Trading Value(285A)Kioxia HD404,198,844,600(9984)SoftBank Group83,368,319,120(6976)Taiyo Yuden59,314,474,826(6857)Advantest53,204,415,600(593A)
SBI Securities (pre-market): SoftBank Group saw net selling, while Kioxia HD saw net buying.
Sell Code Security Name Trading Value (285A) Kioxia HD 181,996,594,700 (9984) SoftBank Group 41,354,178,268 (6857) Advantest 34,256,223,660 (6976) Taiyo Yuden 33,319,600,210 (593A) Tier IV 31,508,703,790 (5803) Fujikura 26,583,031,
Market developments centered around semiconductor and AI-related stocks.
[Equity Market Opening Comment] Japanese equities are expected to see trading driven by semiconductor and AI-related stocks on the 7th. In the U.S. market on the 4th, the Dow Inc fell by $271, while Nasdaq dropped by 77 points. The August U.S. employment report showed non-farm payrolls increased by 162,000, significantly exceeding market expectations of approximately 53,000. This data heightened expectations for earlier interest rate hikes, with rising U.S. long-term bond yields weighing on sentiment. Amidst this backdrop, some semiconductor stocks attracted buying interest.
Daiwa House Industry, Torishima Manufacturing, and others
*Daiwa House Industry <1925> to withdraw from newly built detached housing markets in 23 prefectures, concentrating management resources in urban areas (Nikkan Kogyo, p.3)-○*Sharp <6753> and Toyota Industries to develop core technologies for automated warehouses, enabling high-speed calculation of outbound planning (Nikkan Kogyo, p.3)-○*Hirex Corporation <7279> secures first domestic order for car door modules, expanding factory capacity for mass production (Nikkan Kogyo, p.3)-○*Tier IV <593A> to conduct autonomous bus demonstration trials in Saudi Arabia (Nikkan Kogyo, p.3)-○*Utorishima Seisakusho <6363> India
List of Stocks Breaking Above the Cloud (Weekly Chart) [Ichimoku Kinko Hyo – Stocks Breaking Above the Cloud]
○ List of Stocks That Have Broken Through CloudsMarket Code Stock Name Closing Price Leading Span A Leading Span BTokyo Stock Exchange Prime Market Cross Cat 1060 1057.5 1058.5<2752>Fuji
How far can the yen's reversal go? Goldman Sachs: Structural recovery is "just getting started," while Bank of America forecasts a rise to 149 by year-end.
Goldman Sachs assesses that the correction of the yen's long-term structural undervaluation may have only just begun.
Buoyed by gains in U.S. equities, stocks were bought back, led by the technology sector, recovering the psychologically significant level of 65,000 yen.
The Nikkei Stock Average rebounded sharply for the first time in five sessions, closing 806.46 yen higher at 65,020.94 yen (estimated trading volume: 2.21 billion shares). On a closing basis, it regained the psychologically significant 65,000-yen level for the first time in three days since the 1st. Reflecting the previous day's rise in U.S. stocks, buying led by high-priced technology shares drove the market higher from the open, with the Nikkei widening its gains toward the middle of the morning session. Later, however, upward momentum stalled as the yen strengthened, trading in the 155-yen-to-the-dollar range.
SBI Securities (intraday) recorded net selling in Kioxia HD and net buying in Tier IV.
Sell Code Security Name Trading Value (285A) Kioxia HD 394,818,528,790 (9984) SoftBank Group 69,611,102,421 (6976) Taiyo Yuden 68,250,023,312 (6857) Advantest 44,738,825,040 (1570) NEXT FUNDS Nikkei 225 Leveraged ETF 33,973,483,780 (5803
Nomura: BOJ Could Execute Back-to-back Rate Hikes Through December
Mitsui shares fell sharply after a U.S. securities firm downgraded the stock, citing a lack of visible catalysts.
The stock experienced a sharp decline. JPMorgan Securities downgraded its investment rating from "Overweight" to "Neutral" and lowered its target share price from 6,650 yen to 5,700 yen. While the current stock price level does not appear overvalued, the firm noted a lack of visible catalysts. Although the new medium-term management plan made the growth strategy, including capital policy, less clear, concerns regarding this aspect were not fully dispelled by the first-quarter earnings results. Additionally, the assumption that resource prices generally will trend downward is another factor making it difficult to maintain a bullish outlook.
Fuji Oil, Lion, and others (additional) Rating
Upgrades - Bullish Codes Ticker Company Name Brokerage Previous Revised ------------------------------------------------------------ <2768> Sojitz JPM "Neutral" "Overweight" <6363> Torishima Mfg. Tokai Tokyo "Neutral" "Outperform" <6869> Sysmex SMBC Nikko "2" "1" <7716> Nakanishi SMBC Nikko "2" "1" <8001> Itochu JPM "
Anthropic Ramps Up Push for Landmark IPO: Report Says $15 Billion Credit Facility Deal Is Near Finalization
1. Anthropic is close to finalizing an expansion of its revolving credit facility to $15 billion, clearing the way for its upcoming IPO; 2. Morgan Stanley is leading the credit arrangement, with Goldman Sachs and JPMorgan as key participants and also serving as the lead underwriters for the IPO.