Snapshot: The Nikkei 225 is trading down 0.88% at 69,175, extending yesterday’s losses. The primary driver remains the Bank of Japan’s recent Summary of Opinions, which indicated policymakers are leaning towards continued rate hikes, fueling fears of tighter financial conditions. This domestic concern is amplified by a broader tech selloff in global markets.
- BoJ policymakers generally favored continuing interest rate hikes, citing inflation moving closer to the 2% target.
- Watch for US 08:30 ET macro data for potential cross-asset spillover into NY session.
Bias into NY: The immediate bias is to the downside, with the BoJ’s hawkish leanings creating headwinds for Japanese equities. A break below 69,000 could open further selling pressure.