Ten Cheers and Fears OF 2024

Tourism – too much of a good thing (Kyoto).

A look ahead to what may impact investors in Japan in the coming year.

• Stronger yen and higher interest rates, leads to corporate profit expansion, supports pay rises and domestic consumption.
• A crisis in domestic and inbound tourism develops with multiple issues facing Japan, trouble is brewing from Tokyo to Kyoto.
• Stocks continue to rally and foreigners remain attracted to Japanese assets. Property market does not collapse as rates rise, investment in JGBs return.

This is quite a long article with ten thematics to consider, the top three I feel are the most important for the start of the year; Bank of Japan and Ministry of Finance, Tourism and consumption, and Foreign investor activity, the rest may impact a little later in the year.

​Topics include:

• Stronger yen and higher interest rates
• A tourism crisis, inbound and domestic
• Corporate profit expansion, 17-20% rally in equities
• Consumption; negatives and positives
• Defence and Japan’s alliances in Europe and with its Asian neighbours.

…and some other thoughts for food, water, climate, technology, and space. 

To read this article in full click HERE

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