Telegraph (May 15)
Japan is “heaving with tourists like never before, and for local residents bearing the brunt, patience is wearing thin.” With open borders and “an enticingly weak yen,” overseas visitors topped 3 million for the first time. “The world’s most polite country” is now experimenting with a raft of measures from entrance fees, no go zones and view obstructing barriers.
Tags: 3 million, Barriers, Entrance fees, Experimenting, Heaving, Japan, Local residents, Open borders, Overseas visitors, Patience, Tourists, Weak yen
The Economist (May 4)
“It is easy for investors to lose a fortune in the financial markets—and even easier for governments.” When Japan tried to prop up the yen in 2022, the nation “spent more than $60bn of its foreign-exchange reserves,” but supporting a currency “is expensive and futile.” Since breaking the ¥160/$1 barrier, there are rumors of another intervention. As long as the giant interest rate gap exists with the U.S., Japan would be “wrong to try to prop up the yen.”
Tags: $60bn, ¥160/$1, 2022, Currency, Expensive, Financial markets, Forex, Futile, Governments, Interest rate, Intervention, Investors, Japan, Reserves, Yen
The Guardian (May 1)
“As the declining population continues to impact Japan’s society and economy, the number of vacant houses has topped nine million – enough to accommodate the entire population of Australia at three people per dwelling.”
Tags: Accommodate, Australia, Declining, Dwelling, Economy, Impact, Japan, Population, Society, Vacant houses
Investment Week (April 25)
In the U.S., “sustainable funds suffered their “worst-ever quarter” for redemptions, shedding a record $8.8bn in the first quarter of 2024…. This marked the sixth consecutive month of outflows… and was over five-fold the withdrawals from Japanese sustainable funds, the only other region to record overall redemptions.” The ongoing politicization of ESG investing in the U.S. was among the drivers of the outflows.
Tags: $8.8bn, Japan, Outflows, Politicization, Q1, Redemptions, Suffered, Sustainable funds, U.S., Withdrawals, Worst-ever quarter
The Hill (April 22)
“Anyone doubting that China is well on its way to a Japanese-style lost economic decade has apparently missed the bursting of its massive housing and credit market bubble and the souring of U.S. and European trade relations with that country.” Make no mistake, China’s fall “would constitute a major headwind for world economic recovery.”
Tags: Bubble, Bursting, China, Credit market, Europe, Fall, Headwind, Housing, Japan, Lost decade, Trade relations, U.S., World
Bloomberg (April 10)
“Global funds have turned optimistic on Japanese stocks over the past year, on expectation shareholder returns will improve.” Despite the booming Japan market, “Japanese startups have been turning to the US where institutional investors are more willing to bet on innovative technologies.” So it is no surprise that the NYSE “is actively engaged with a pipeline of Japanese companies, some of which may consider a US listing over the next 18 months.”
Tags: Booming, Expectation, Global funds, Innovative technologies, Institutional investors, Japan, NYSE, Optimistic, Shareholder returns, Startups, Stocks, U.S.
Wall Street Journal (April 8)
“Japan knows the Ukraine stakes.” In contrast, U.S. critics, especially Republican members of Congress are wavering on Ukraine aid, suggesting “the war in Europe is a distraction from more serious threats in Asia.” Tokyo realizes “a Russian victory may encourage Chinese imperialism.” Hopefully, during his visit next week, Prime Minister Kishida “can disabuse” Republicans of their errant notion. His government’s foreign policy “reflects the seriousness of the current geopolitical moment. Japan recognizes that the threat to the well-being of free nations is global.”
Tags: Aid, Asia, China, Congress, Critics, Europe, Free nations, Japan, Kishida, Republican, Russia, Stakes, Threats, U.S., Ukraine, War, Wavering, Well-being
Institutional Investor (April 1)
“In March, the Bank of Japan made the seismic decision to raise interest rates for the first time in 17 years. The long-awaited shift to positive rates has excited some of the country’s leading chief executives.”
Tags: 17 years, BOJ, Chief executives, Decision, Excited, Interest rates, Japan, Leading, Long-awaited, March, Positive rates, Raise, Seismic, Shift
Business Insider (March 31)
Japan’s “stock market is ripping; the Nikkei recently exceeded the all-time highs it set 34 years ago. Analysts at Goldman Sachs are telling clients there’s still more upside to be had as corporate-governance reforms and a new era of sustainable inflation take hold. The Bank of Japan this month hiked interest rates above zero for the first time since 2007, a sign of confidence in the country’s recovery.”
Tags: Analysts, BOJ, Clients, Confidence, Corporate governance, Goldman Sachs, Highs, Inflation, Interest rates, Japan, Nikkei, Reforms, Ripping, Stock market, Upside
Bloomberg (March 28)
“The risks are piling up for Japan’s currency, stocks and bonds as the nation’s fiscal year draws to an end right when many global markets close for Easter — and less than two weeks after the central bank hiked interest rates.”
Tags: Bonds, Central bank, Currency, Easter, Fiscal year, Global markets, Interest rates, Japan, Piling up, Risks, Stocks
