Nikkei 225 breaches 14,000 – best in almost 5 years

Japan has an air of BOOM brewing , economic that is .
Stock markets are up nearly 50% in one year , yen weakening and improving economic activity , can it last ? I think so when Nikkei starts to go 19,000 /20,000 then it’s time to re think .
We have been focused and bombarded with negative news for past 5 years we believe good news won’t last , for the moment it ill .

It’s here to stay , enjoy the good news , good wether and good return .

Personally i have a view profits are only profits when you bank them .

Tony Evans
Tokyo 8th May

Nikkei 225 breaches 14,000 – best in almost 5 years.

The Japanese Nikkei 225 stock average pushed through 14,000 for the first time since June 2008, after stock markets in Japan reopened from a two-day holiday.

During the closed period for the Golden Week holidays, the yen fell, the European Central Bank cut its benchmark rates and US jobs data beat estimates. Consequently, by the end of the morning session, the Nikkei was up 2.8% to 14,083. Such gains were led by the basic materials and consumer goods sectors, with almost all companies on the index posting rises.

Furthermore, analysts believe that improving corporate earnings could also boost sentiment further in the days ahead.

Of which, Toyota Motor surged 4.4% a day after the Nikkei newspaper said that the operating profit for the year ended March 31 was expected to have tripled from a year earlier. Nissan Motor also jumped 5% ahead of its earnings announcement later this week.

Elsewhere in Asia, the MSCI Asia Pacific index rose 1%, while South Korea’s Kospi Composite index slipped and Australia’s S&P/ASX 200 index retreated – amid caution ahead of the Reserve Bank of Australia’s monetary policy decision.

Australia’s central bank has cut its benchmark interest rate to a record low of 2.75%, in an attempt to counter slowing growth in the country’s mining sector. The bank said that it expects investment in the resources sector, one of its biggest drivers of growth, to peak this year.

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