Nikkei Expected To Return From Break To The Downside

Japan's benchmark Nikkei 225 index is expected to open lower following a long holiday weekend, breaking a three-session winning streak that previously added over 1,500 points or 2.3 percent. The index closed Friday up 882.75 points, or 1.38 percent, to finish at 65,018.95, supported by gains in the technology, manufacturing, and healthcare sectors. However, negative global market momentum is poised to pressure Tokyo equities as trading resumes. The anticipated downside follows a weak session on Wall Street, where all major U.S. benchmarks closed near intraday lows. The Dow fell 0.68 percent, the S&P 500 declined 0.75 percent, and the Nasdaq dropped 1.13 percent, pressured by rising Treasury yields and higher energy costs. West Texas Intermediate crude futures rallied 2.1 percent to $92.40 per barrel amid escalated Middle East tensions following statements by U.S. President Donald Trump at the UN General Assembly. Investors are also watching Japan's upcoming preliminary September PMI data for domestic economic momentum.