American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Investing

Here’s what will affect the Nikkei 225 Index this week

by admin August 3, 2025
August 3, 2025
Here’s what will affect the Nikkei 225 Index this week

The Nikkei 225 Index pulled back last week as market participants focused on key Japanese earnings and the BoJ interest rate decision. It retreated to a low of ¥40,800, down from the year-to-date high of ¥42,040. Here are the top catalysts for the Nikkei Index this week.

Bank of Japan interest rate decision

The Nikkei 225 Index pulled back after the BoJ announced its interest rate decision. As widely expected, the bank decided to leave interest rates unchanged at 0.50%.

In a statement, Kazuo Ueda, the bank’s governor,  said that the future interest rate cut or hike will be determined by a number of factors, including inflation. He blamed the recent inflation spike to the country’s soaring food prices. 

Analysts now expect that the BoJ will hike interest rates in the October meeting as the bank fights inflation. In a note, a Bloomberg analyst said:

“Until tariffs are seen as damaging US growth and bringing Fed cuts back into play, the market has a window to focus on Japan’s sluggish economy and deeply negative real yields, both of which will weigh on its currency.”

Key Japanese earnings

The other top catalyst for the Nikkei 225 Index will be the upcoming earnings by some of its top constituents. While big names like Hitachi, Sumitomo Mitsui, Mizuho, and Mitsubishi Electric have published their results, many more firms are yet to do so.

Mitsubishi UFJ Financial, a top Japanese company worth $157 billion, will publish its results on Monday. Analysts expect its results to be strong, judging by the other bank results. 

Japanese banks have benefited from the BoJ interest rate hikes, which have pushed the base lending rate to 0.50%. While small, it is a major shift as the bank maintained negative rates for years. 

Mitsubishi, the $75 billion company, will release its results on Monday. Recruit Holdings, the parent company of Glassdoor, Indeed, and RGF will release its numbers on Tuesday. 

Other major Nikkei 225 companies that will release their numbers on Tuesday are Mitsubishi Heavy, NTT Data, Daikin, Suzuki Motor, and Yamaha Motor. 

More firms like Honda Motor, Sony, Tokio Marine, Softbank, Rakuten, and Japan Post will release their numbers.

Japan tariffs on the US

The other catalyst for the Nikkei 225 Index will be the start of the US tariffs on Japanese goods on August 7. In a recently announced deal, Japan agreed to have the United States charge its goods a 15% tariff.

The country also agreed to invest $550 billion in the United States. Analysts expect these tariffs to hurt some critical Japanese companies like Toyota and Honda that ship thousands of vehicles to the US.

Japan macro data

The Nikkei 225 Index will react mildly to some key macro data and events from Japan this week. For example, the Bank of Japan (BoJ) will publish minutes of its last meeting on Tuesday. These minutes will provide more information about the deliberations that happened in the last meeting. 

The other key data to watch will be the composite and services PMI report on Tuesday, and overtime pay on Wednesday. Japan will publish the latest coincident and leading economic index on Thursday. 

The post Here’s what will affect the Nikkei 225 Index this week appeared first on Invezz

0
FacebookTwitterGoogle +Pinterest
previous post
USD/INR forecast ahead of the RBI interest rate decision
next post
FTSE 100 Index shares to watch: IHG, Legal & General, Flutter, BP

Related Posts

Copper Prices Jump as Top Chinese Smelters Agree...

March 16, 2024

Cloudflare stockforecast: buy, sell, or hold ahead of...

February 4, 2025

Lucid stock forecast: LCID sends mixed signals ahead...

February 17, 2025

Nio stock price forecast: Here’s why it could...

January 9, 2025

Nickel Price Update: Q2 2024 in Review

August 10, 2024

XRP price has key catalysts: here’s why Ripple...

March 19, 2025

Warby Parker stock price crashes to key support:...

March 19, 2025

RGTI, QSI, QMCO, IONQ stocks are surging: time...

December 27, 2024

Polkadot price prediction as DOT charts send mixed...

February 12, 2025

Coal 101: The 4 Coal Types and Their...

February 7, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • Trump moves nuclear submarines near Russia: what triggered the move and what’s ahead

      August 3, 2025
    • BOE rate cuts offer little relief as UK households face mounting financial strain

      August 3, 2025
    • Retail investors shift focus to Europe as US valuations stretch

      August 3, 2025
    • Berkshire Hathaway posts 4% dip in Q2 operating profit, writes down Kraft Heinz stake

      August 3, 2025
    • Canada ponders over retaliation costs against US tariffs

      August 3, 2025

    Categories

    • Business (3,555)
    • Investing (2,689)
    • Latest News (2,029)
    • Politics (1,530)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved