Core Viewpoint - The Tokyo stock market experienced a decline on November 4, with both major indices closing lower due to profit-taking by investors concerned about a potential short-term overheating of the market [1] Market Performance - The Nikkei 225 index closed down by 1.74%, while the Tokyo Stock Exchange Price Index fell by 0.65% [1] - The Nikkei index decreased by 914.14 points, ending at 51497.20 points; the Tokyo Stock Exchange index dropped by 21.69 points, closing at 3310.14 points [1] Sector Performance - Most of the 33 industry sectors on the Tokyo Stock Exchange saw declines, with the marine transportation, information and communication, and service sectors experiencing the largest drops [1] - Conversely, the airline transportation, glass and ceramic products, and petroleum and coal products sectors were among the top gainers [1]

Group 1 - The Bank of Japan's financial system report indicates early signs of overheating in the Japanese stock market and warns that uncertainties in U.S. trade policy could lead to significant market corrections, impacting financial institutions [1] - The report highlights that rapid position adjustments and deleveraging by hedge funds during unexpected market changes could amplify asset price volatility, particularly if these adjustments occur in the global bond market, potentially affecting various financial instruments in Japan [1] Group 2 - Critics argue that the Bank of Japan's prolonged ultra-low interest rates and a weak yen have made investments in Japan cheaper for foreign investors, consequently driving up asset and property prices [4] - In April and May of this year, rumors regarding large-scale fiscal spending and potential increases in debt issuance led hedge funds to sell bonds, resulting in a significant spike in long-term Japanese government bond yields [4]

Core Viewpoint - The price of spot silver has surged significantly due to market tightening, with investors increasingly seeking refuge in precious metals [1] Group 1: Price Movement - Spot silver prices rose over 2% in a single day, surpassing $50 per ounce, marking the highest daily figure since 1993 and exceeding the peak in 2011 [1] - Year-to-date, silver prices have increased by over 70%, outpacing the record rise in gold prices [1] Group 2: Market Drivers - Concerns over U.S. fiscal risks, an overheated stock market, and threats to the independence of the Federal Reserve have led investors to look for safe-haven assets [1] - A shortage of freely available silver in key London markets has supported prices and significantly increased the cost of borrowing silver [1]