MARKETS: In Japan, the exchange rate rises, Sony is rumored to be shopping

Asian markets were in a mixed mood on Tuesday. The Asia Dow index was down 0.3 percent. The decline came mainly from Chinese stocks. Rates were rising in Japan, Taiwan and India.

The Tokyo Stock Exchange’s Nikkei index was up 0.6 percent and the broader TOPIX index was up 0.7 percent. Of the industries, utility services were the only sector to decline. The strongest trend was the financial sector with a rise of 1.7 percent and discretionary consumption with a rise of 1.1 percent.

The weakening of the yen has caused investors to price an interest rate hike even more likely at the Bank of Japan’s December interest rate meeting. The yen’s weakness threatens local purchasing power, and an interest rate hike would support the currency. Bank shares have seen plenty of strong movements in both directions in recent months in Japan as interest rate expectations change and affect the banks’ future prospects.

The news agency Reuters reported this morning, citing anonymous sources, that the Japanese gaming and electronics giant Sony negotiates Kadokawa– about buying an entertainment company. Kadokawa publishes, among other things, anime films and manga comics. Its game publishing side is best known for the Elder Ring game. Sony and Kadokawa did not comment to Reuters on the news. Sony’s share was up 0.2 percent and Kadokawa’s share rose four percent with the news.

In mainland China, the price drop was almost one percent at the index level, and the drop in the Hong Kong stock exchange was mild.

On the foreign exchange market, the yen had strengthened by 0.1 percent against the dollar, euro and pound.

You got 1.059 dollars for the euro and 154.56 yen for the dollar.

The cryptocurrency bitcoin’s rate was at historically high levels of around $91,900 after the rate rose by around one percent in the last 24 hours.

Index futures of both European and American stock exchanges were rising in anticipation of a green stock market opening.

Significant market events of the current week include the chip company Nvidia’s earnings release tomorrow, consumer confidence figures for the euro area on Thursday and PMI figures from the euro area and the United States on Friday.