Nikkei Closes Lower, Volatility Rises as Oil Surges
Japanese stocks fell at the close of trading in Tokyo on Monday, with the Nikkei 225 index down 5.24%. The decline was led by weakness in the Paper & Pulp, Transportation, and Communications sectors, reflecting widespread depressed sentiment across the market.
Among the gainers, Rohm Ltd rose 7.12% to 3,474.00, hitting a 52-week high. CyberAgent gained 3.72% to 1,325.50, while ZOZO rose 2.45% to 1,193.00. Resonac Holdings, on the other hand, fell the most, falling 12.59% to 10,655.00, followed by Advantest, which fell 11.03% to 22,875.00, and Furukawa Electric, which fell 10.12% to 25,300.
Market breadth showed dominant pressure, with declining stocks far outnumbering rising stocks, 3,422 to 314, while 93 stocks remained unchanged. In line with the heightened uncertainty, the Nikkei Volatility Index surged 28.00% to 41.05, signaling a sharp rise in the risk premium priced into the options market.
Across assets, the energy surge again took center stage: WTI for April delivery rose 14.65% to US$104.22 per barrel, and Brent for May delivery rose 16.74% to US$108.21. Gold futures for April delivery fell 1.08% to US$5,103.04 per troy ounce, while the dollar strengthened, with USD/JPY rising 0.53% to 158.63 and US Dollar Index futures rising 0.43% to 99.40. The combination of rising energy prices, a strengthening dollar, and surging volatility are three variables that are likely to continue to shape the direction of Japanese market sentiment in the near term. (alg)
Source: Newsmaker.id
