How positive is Abe win for Japanese equities?

Government requires 'boldness' to overcome long-term challenges

Mike Sheen
clock • 4 min read

Investors have welcomed the 'reassuring' landslide victory won by Prime Minister Shinzo Abe's Liberal Democratic Party (LDP) in the election for Japan's lower house, but have warned further action must be taken to tackle weaknesses in the country's economy.

The result, which saw the LDP win almost two-thirds of the seats in the House of Representatives, is expected to deliver little change in Abe's economic policy or Abenomics, and should ease the way for a renewed mixture of monetary easing, fiscal stimulus and structural reforms. Japanese stocks rise on Abe's landslide election victory On the election result, Japanese stocks posted their 15th consecutive day of gains, reaching levels not seen since the mid 1990s, with the Nikkei 225 index up 1.1% to 21,697 by the afternoon in Japan. The index is now up 12.26% in 2017. Meanwhile, the ye...

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