June 26, 2022

News of inflation in the United States to somewhat receding after the country’s consumer price index data for November landed within market expectations led Tokyo stocks to end higher on Monday.

Stock market summary –

• The 225-issue Nikkei Stock Average edged up 202.72 points, or 0.71 percent, from Friday at 28,640.49.
• On the Tokyo Stock Exchange, the broader Topix index of all First Section issues ended 2.65 points, or 0.13 percent, higher at 1,978.13.
• Stocks gained in marine transportation, insurance, and consumer credit issues sector.
• The U.S. dollar in Tokyo was firm in the upper 113 yen range.
• The dollar in New York at 5 p.m. fetched 113.54-56 yen from 113.34-44 yen and 113.58-59 yen in Tokyo at 5 p.m. Friday.
• The euro in New York was quoted at $1.1290-1292 and 128.19-23 yen against $1.1311-1321 and 128.28-38 yen
• While in Tokyo late Friday afternoon the euro was quoted at $1.1293-1294 and 128.27-31 yen.
• The yield on the benchmark 10-year Japanese government bond tracking a fall in the U.S. Treasury yield late last week fell 0.005 percentage point from Friday’s close to 0.045 percent.
• Stocks tracked gains despite a 6.8 percent rise in the U.S. consumer price index for the previous month compared to a year earlier on Wall Street late last week.
• Declining issues on the First Section outnumbered advancers 1,144 to 918, while 121 ended unchanged.
• Murata Manufacturing stocks rose 135 yen, or 1.5 percent, to 8,905 yen, Advantest stocks added 240 yen, or 2.4 percent, to 10,370 yen, and Screen Holdings shares inched up 150 yen, or 1.3 percent, to 11,850 yen.
• Toyota Motor after announcing that it would partially suspend operations of more domestic lines in December due to supply chain disruptions in Southeast Asia, shares fell 50.0 yen, or 2.4 percent, to 2,002.0 yen on Friday.
• Volume on the main section downgraded to 955.79 million shares from Friday’s 1,114.09 million shares.

According to market analysts, investors are on the edge due to the U.S. inflation data as it has led them to believe that the U.S. central bank will not be overly aggressive. While market participants at present are focused on the pace of narrowing the number and timing of rate hikes for the upcoming year.