Welcome back from Golden Week! The Nikkei 225 Stock Average gained 2741.91, or 1.58% to 17,669.83 (range: 17,558 – 17,715). N225 futures in Osaka added 1.4% to 17,690 (range: 17,630 – 17,730). TOPIX 1st Section rose 28.81, or 1.69% to 1,733.03 (range: 1,719.70 – 1,735.75). Advancers outnumbered decliners 1,352 x 289 (87 unchanged). The 2nd Section extended a five session rally. JASDAQ got in on the action once again, up 1.54% to 83.14 (range: 82.32 – 83.36). The yen last traded just under 120 against the US$. Laggards such as autos and bank stocks made broad gains. Consumer electronics were particularly strong. Other areas of strength include real estate, iron and steel, and nonferrous metals. Nintendo (JP: 7974) (NTDOY.PK) rose 2.7% to ¥39,700, hitting a new all-time high and coming just short (¥39,800 intra-day) of ¥40,000.
Browsing Posts published on May 7, 2007
Could you repeat the question? How about if it’s likened to the Nikkei’s boom (and subsequent bust) in the 80’s? MarketWatch covers newsletter editor Dennis Gartman’s (of the Gartman Letter) warning of U.S. stocks seemingly going parabolic, as the Dow and now the S&P 500 climb higher and higher. He says, “We must remember that when markets go parabolic (and they do indeed go parabolic from time to time) it is important to remember one of our oldest trading aphorisms: that the final 10% of the time frame of a bull market can, and often will, encompass 50-75% of the price movement. We may be in that environment now. Things seem to want to go “parabolic.” What may seem like insanity may be nothing more than history repeating itself once again.” That said, Gartman concludes: “Speculators are advised not to try to catch falling pianos, and not to try to stop rockets in their initial push higher.”
Just some food for thought — just what you need on Monday.
The Nikkei 225 is up 260 yen, or 1.5% to 17,655 in morning trading. It has traded as high as 17,713. There’s plenty of reasons to be bullish, in general, following the four-day weekend. Look to the U.S. where there’s a new Dow record practically everyday and the S&P 500 hitting 1,500 again. Don’t forget about the M&A action and rumors! Also, the yen is trading around 120 against the dollar and even more impressively, it is trading at an all-time low against the euro. If this holds, it bodes very well for exporters and especially a stock like Nintendo (JP: 7974) (NTDOY.PK), which offered conservative guidance (having forecast less advantageous forex rates).
