While the stronger yen threatens to eat into the profits of exporters, it's also attracting foreigners by increasing their dollar-denominated return.
We should take a step back today, given rising tensions over North Korea and the subsequent fall in New York. And after rising last week for no fundamental reason, we may be due for a fall.
The slide in U.S. stocks looks non-stop. This is not a good sign for Tokyo, especially for high-tech exporters,
High-tech issues are surrounded by persistent fears over possible profit warnings as we get closer to the mid-year book closing in September.
There are some worries about inflation in the U.S. and the possibility of further rate hikes. Because of those concerns and the slide in U.S. shares, investors in Japan will likely take some profits.
You can't ignore the fact that concerns about U.S. economic growth are starting to spread. We've reached a point where it's hard to justify aggressive buying from here.
Some people are saying the market is overheated and it's inevitable that it takes a break here and there.
The market was encouraged by Friday's gains in U.S. stocks. Carrying over late last week's strong market sentiment, players tested higher prices.
The market took a breather as investors believed share prices surged too far, too fast in recent sessions. Most market participants were also taking to the sidelines before the release of US employment data later today.
The jump in oil raises questions about the outlook for U.S. inflation and rates. That's negative for shares, especially for companies that rely on external demand.