U.S. stocks started off the year posting broad gains on the opinion that interest-rate increases are coming to an end. Taking cues from that, Japanese stocks ... with a focus on high-tech issues, are likely to move higher.
There are things to watch later this week. Monthly CPI data is due on Friday and industrial output data on Wednesday.
Basically, I think the desire to wait and see is very strong right now. That being said, U.S. stocks, especially the Nasdaq index, were weaker ... so the market is likely to move lower.
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.
Some people are saying the market is overheated and it's inevitable that it takes a break here and there.
Market participants are not making large positions ahead of the holidays.
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.
While the stronger yen threatens to eat into the profits of exporters, it's also attracting foreigners by increasing their dollar-denominated return.
There's greater concern now about further U.S. interest rate increases and that will dampen the overall Japanese market. Natural resources-related shares may rise, but hi-tech and autos may fall on concern about reduced overseas demand.
There's not disappointment here, but also nothing to move the market. We still hold out hope for reform and will continue to watch developments carefully.
The trend is for a weaker dollar, which will hurt companies, especially exporters.
The slide in U.S. stocks looks non-stop. This is not a good sign for Tokyo, especially for high-tech exporters,
Oil prices need to be watched closely, so any drop from recent highs will help. Even when it comes to the Internet companies, there's a sense that we need to start looking at the fundamentals again.
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.
It's hard to find shares of exporters to be attractive when the situation in the U.S. seems pessimistic.
It's pretty much up to how banking issues fare,
The Fed's interest-rate increase concerns are receding on the back of evidence growth is slowing. Investors are taking that as a positive for stocks and that's serving as an incentive to buy right now.
I'm looking for a softer start to the week and technology shares may be vulnerable to declines.
Investors may take a wait-and-see stance until the Bank of Japan comes out with its policy statement.
Investors have been sensitive to any U.S. economic reports. The housing report brought them some relief.
Investors sell futures contracts speculating about a further fall in the cash market in the afternoon, so by the time the cash market opens, investors turn bearish -- it's a vicious cycle.
Higher long-term yields are a major concern for property companies which have a large portion of interest-bearing debt.
Higher interest rates are definitely a negative for stocks and investors are worried that they may keep rising in the U.S..
High-tech issues are surrounded by persistent fears over possible profit warnings as we get closer to the mid-year book closing in September.
Buyers are on the sidelines with the U.S. third quarter earnings announcements picking up speed, and more loss warnings are expected from Japanese companies.
The market had already factored in good numbers from the GDP data and there are few incentives to trade on now.
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.
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.
