Japanese businesses left behind this year as global equities rallied to a record found a winning strategy in buying back shares the rest of the world preferred to avoid.
Japan’s Topix index rose a third day, to its highest close in almost five months, after the Federal Reserve said U.S. growth is recovering and interest rates will remain low for some time.
Japan Prime Minister Shinzo Abe ordered an earlier review of the biggest pension fund’s portfolio, Health Minister Norihisa Tamura said today, amid speculation the fund is already buying more stocks.
Japan’s yield curve is likely to steepen as incoming Prime Minister Naoto Kan will seek to rein in borrowings and pressure the central bank to extend monetary easing to lift the economy out of deflation, according to Toyota Asset Management Co.
Japan’s Topix index rose, capping a third weekly advance, as investors weighed plans to bring forward an asset allocation review at the country’s biggest pension fund and awaited U.S. jobs data.
Japan’s Topix index fell from a five- week high as disappointing earnings and a stronger yen overshadowed a report showing economic growth topped estimates.
"It's not surprising that there's concern about the high stock prices considering how swiftly the market rose."
- Masaru Hamasaki on Jul 30, 2014