The Nikkei Stock Average at the morning close on the 2nd plunged 1,007.74 yen to 52,731.94, sharply lower from the previous trading day. Trading volume on the Prime Market in the morning session was approximately 1.42339 billion shares, with trading value of approximately \4.4961 trillion. The number of advancing issues stood at 514, while declining issues totaled 1,017, with 46 unchanged.

The Tokyo stock market in the morning session started with a buying advantage, following the previous day's gains in U.S. stocks, but then turned to selling pressure. In a closely watched address to the nation by U.S. President Trump starting at 10:00 a.m. Japan time, he indicated a willingness to continue ceasefire negotiations with Iran, but also stated he would "launch extremely severe attacks over the next two to three weeks," signaling his intention to continue combat operations. Following this, crude oil futures rose in off-hours trading, and the Nikkei Average, which had been trading in positive territory, quickly turned negative, expanding losses to over 1,000 yen. As there had been prior expectations that some policy direction toward a ceasefire in the Iran conflict would be announced, the disappointment apparently triggered selling. More than 60% of Prime Market issues declined.

Individually, ADVANTEST CORPORATION <6857>, Kioxia Holdings <285A>, DISCO CORPORATION <6146>, as well as Fujikura Ltd. <5803> and Furukawa Electric Co., Ltd. <5801> were weak. SoftBank Group Corp. <9984> also traded lower. JX Advanced Metals Corporation <5016> and Sumitomo Metal Mining Co., Ltd. <5713> declined, while Mitsubishi UFJ Financial Group, Inc. <8306> and Nintendo Co., Ltd. <7974> also fell. On the other hand, Mitsubishi Heavy Industries,Ltd. <7011> bucked the trend with gains. Mitsui O.S.K.Lines,Ltd. <9104> and Nippon Yusen Kabushiki Kaisha <9101> were firm. TOYOTA MOTOR CORPORATION <7203> was also solid. Japan Display Inc. <6740> rose.

Source: MINKABU PRESS