Foreign investors have consistently sold Japanese equities since the beginning of the year, reflecting concerns over global economic growth, the pace of US interest rate rises and the re-emergence of the land sale scandal in which Ministry of Finance officials and leading politicians, including the Prime Minister, have been implicated.
Equity markets reacted negatively to the announcement in early March by President Donald Trump of his intention to impose import tariffs on steel and aluminium, as well as further plans to broaden this to other products imported from China, such as heavy machinery, aircraft parts, semiconductors and more. China has retaliated by imposing duties on a number of US goods - this has escalated the situation and justifiably raised concerns about its impact on global economic growth. The higher risk sentiment saw the dollar weaken (or yen strengthen further) and raised questions about the ...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
