Market Performance - The Nikkei 225 index has reached a historic high, surpassing 52,000 points for the first time, with an intraday increase of over 1,000 points and a peak gain of more than 2% [1] - The Tokyo Stock Exchange index also hit a record high, with semiconductor, consumer, and electric sectors leading the gains [1] Company Highlights - Semiconductor design company Socionext saw its stock hit the limit up, with a gain of 16.72%, and is set to hold an earnings meeting on October 31, where it will announce mid-term performance up to September 30, 2025 [2] - Socionext has begun developing 3nm ADAS and customized SoCs for autonomous driving, expected to enter mass production in 2026, utilizing TSMC's N3A process [2] - Other notable stocks include Renesas Electronics and Hitachi, both rising over 9%, while Kansai Electric Power increased by over 6% [2] Economic Indicators - Tokyo's core consumer price index (CPI) for October rose by 2.8% year-on-year, exceeding the Bank of Japan's 2% inflation target for over three years [2][3] - The CPI increase was higher than the market expectation of 2.6% and up from 2.5% in September [2] Monetary Policy - The Bank of Japan decided to maintain the policy interest rate at approximately 0.5%, marking the sixth consecutive meeting without a rate change [4] - The decision was made despite predictions of a potential rate hike to curb unexpected inflation, with a vote of 7 in favor and 2 against maintaining the current rate [4] - Bank of Japan Governor Kazuo Ueda indicated that external economic uncertainties, particularly from the U.S., will be closely monitored [4][5]

Core Viewpoint - The Japanese stock market is experiencing a strong upward trend, with the Nikkei 225 index reaching a historic high of over 52,000 points, driven by gains in sectors such as semiconductors, consumer goods, and electricity [1][2]. Group 1: Market Performance - The Nikkei 225 index surged over 1,000 points, achieving a gain of more than 2% during trading, and closed at 52,058 points, reflecting a 1.43% increase [1]. - The Tokyo Stock Exchange index also reached a historic high, with significant contributions from the semiconductor sector, particularly Socionext, which saw a price increase of 16.72% [1][2]. Group 2: Company Highlights - Socionext, a fabless semiconductor design company, is set to hold an earnings meeting on October 31, where it is expected to announce mid-term performance results up to September 30, 2025. The company has begun developing 3nm ADAS and customized SoCs, with production expected to start in 2026 [2]. - Other notable companies include Renesas Electronics and Hitachi, both of which saw stock increases of over 9%, while Kansai Electric Power rose over 6% [3]. Group 3: Economic Indicators - The core consumer price index (CPI) in Tokyo rose by 2.8% year-on-year in October, exceeding the Bank of Japan's target of 2% for the third consecutive year, and surpassing market expectations of 2.6% [3]. - The Bank of Japan decided to maintain its policy interest rate at approximately 0.5%, marking the sixth consecutive meeting without a rate change, despite prior predictions of a potential rate hike [4]. Group 4: Monetary Policy Insights - Analysts suggest that the Bank of Japan's decision to keep interest rates unchanged reinforces expectations of a cautious approach to monetary tightening under Prime Minister Fumio Kishida's leadership [5]. - The market's perception of a prolonged low-interest-rate environment may lead to increased short positions on the yen, especially in the context of the U.S. Federal Reserve's easing cycle [5][6].

Market Performance - The Nikkei 225 index has reached a historic high, surpassing 52,000 points for the first time, with an intraday increase of over 1,000 points and a rise of more than 2% [1][2] - The Tokyo Stock Exchange index also hit a record high, with semiconductor, consumer, and electric power sectors leading the gains [1] Company Highlights - Semiconductor design company Socionext saw its stock hit the limit up, with a gain of 16.72%. The company is set to hold an earnings meeting on October 31, where it is expected to announce mid-term performance up to September 30, 2025 [2] - Socionext has begun developing 3nm ADAS and customized SoCs for autonomous driving, with production expected to start in 2026, utilizing TSMC's N3A process [2] - Other notable stock performances include Renesas Electronics and Hitachi, both rising over 9%, while Kansai Electric Power increased over 6% [2] Economic Indicators - Tokyo's core consumer price index (CPI) for October rose by 2.8% year-on-year, exceeding the Bank of Japan's 2% inflation target for over three years [2][3] - The CPI increase was higher than the market expectation of 2.6% and up from 2.5% in September [2] Monetary Policy - The Bank of Japan decided to maintain the policy interest rate at approximately 0.5%, marking the sixth consecutive meeting without a rate change [5] - The decision was made despite predictions of a potential rate hike to curb unexpected inflation, with a vote of 7 in favor and 2 against maintaining the current rate [5] - Bank of Japan Governor Kazuo Ueda indicated that the central bank will continue to monitor overseas economic conditions and their impact on Japan [5][6]

Core Viewpoint - The Central Bank of Turkey has lowered the benchmark interest rate from 40.5% to 39.5%, indicating a slowdown in the rate of interest cuts amid persistent inflationary pressures [1] Summary by Relevant Sections Interest Rate Changes - The recent interest rate cut is a significant slowdown compared to previous cuts of 300 and 250 basis points in July and September, respectively [1] - The decision reflects the Central Bank's attempt to balance economic stimulation and inflation control [1] Inflation Trends - Turkey's annual inflation rate unexpectedly rose to 33.29% in September, marking the first increase since May 2024 [1] - The likelihood of year-end inflation falling within the range of 25% to 29% has increased, surpassing earlier expectations [1] Economic Context - Since mid-last year, Turkey's inflation rate has generally been on a downward trend, attributed to the Central Bank's shift from a long-standing low-interest rate policy to a tighter monetary stance [1] - The Central Bank's current decision to slow down interest rate cuts suggests ongoing concerns about rising prices, particularly in the food sector [1]

Core Viewpoint - The Central Bank of Russia has lowered the benchmark interest rate by 50 basis points to 16.5%, marking the fourth rate cut this year [1] Economic Outlook - The Russian economy is returning to a balanced growth trajectory, although inflation expectations remain high in recent months [1] - The annual inflation rate in Russia is projected to be between 6.5% and 7.0% by the end of 2025 [1] - The Central Bank will maintain a tight monetary policy as needed to bring inflation back to target levels [1] Growth Projections - The economic growth forecast for Russia in 2025 has been revised down from 1%-2% to 0.5%-1% [1]

Group 1 - The Japanese stock market is experiencing a decline, with the Nikkei 225 index down by 1% as of the report [2] - Japanese financial stocks are particularly affected, with the banking sector index dropping by 1.88%, making it the worst-performing sector on the Tokyo Stock Exchange [4] - Major financial institutions such as Mizuho Financial Group, Mitsubishi UFJ Financial Group, and Sumitomo Mitsui Financial Group have all seen declines exceeding 2% [4] Group 2 - Analysts from JPMorgan indicate that the banking sector is one where investors tend to "sell first and ask questions later," highlighting a growing concern over market sentiment rather than the banks' balance sheets [6] - The Bank of Japan's Governor, Kazuo Ueda, has not ruled out the possibility of interest rate hikes, suggesting that the door for recent rate increases remains open [6] - Ueda emphasized the need to assess economic data before the upcoming monetary policy meeting on October 29-30, indicating a cautious approach to policy adjustments [6] Group 3 - The South Korean stock market is also experiencing fluctuations, with the KOSPI index reported at 3744.69 [8] - South Korea's unemployment rate for September was reported at 2.5%, a slight decrease from 2.6% in August [10] - The South Korean government is facing challenges in negotiations with the U.S. regarding a $35 billion investment requirement, which could have implications for the foreign exchange market and economic stability [10]

Core Viewpoint - Argentina's industrial production index (MIP) has shown a continuous decline, indicating significant challenges in the economy due to political uncertainty and stringent monetary policies [1] Industrial Performance - In July, the MIP decreased by 1.1% year-on-year and 2.3% month-on-month, marking six consecutive months of decline [1] - Out of 16 categories, 9 experienced a year-on-year decline, with the most significant drops in clothing and footwear (10.7%), metal products (8.5%), and motor vehicles and automotive parts (8.4%) [1] Economic Outlook - The political uncertainty stemming from the ruling party's losses in provincial legislative elections is expected to hinder economic recovery [1] - High interest rates are anticipated to continue affecting financing, consumption, and investment, suggesting that the current downturn may last longer than previously expected [1]

Core Viewpoint - The Central Bank of Russia unexpectedly lowered the key interest rate by 100 basis points to 20.00%, contrary to market expectations of maintaining it at 21% [1] Group 1: Inflation and Economic Balance - Current inflation pressures, including potential inflation pressures, continue to decline [1] - Domestic demand growth still exceeds the capacity for expansion of goods and services supply, but the Russian economy is gradually returning to a balanced growth trajectory [1] Group 2: Monetary Policy Outlook - The Central Bank aims to maintain monetary tightening to restore inflation to target levels by 2026 [1] - Future decisions regarding the key interest rate will depend on the speed and sustainability of the decline in inflation and inflation expectations [1] - According to the Central Bank's forecast, inflation is expected to return to 4.0% by 2026 and remain at target levels thereafter [1]