Is the Nikkei's run sustainable, or is it due for a major consolidation?

asked by u/santos_luciana · 7d · 1 answers

The Nikkei has been on an absolute tear, no doubt about it. Seems like every time I check it, it's pushing higher, defying the broader global economic jitters. I'm seeing a lot of analysts pointing to corporate governance reforms and a weaker JPY as the primary drivers, and while those are certainly factors, I'm starting to wonder if the enthusiasm is outpacing fundamentals. We're seeing some commodity prices like $CL at $69.71, showing a -3.07% drop today, which could signal some demand-side concerns globally that Japan won't be entirely immune to. I'm finding it hard to believe this current trajectory can maintain without a significant pullback or at least a sideways grind. Am I missing something crucial here? Change my mind.

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  • u/riku91· 1 pts· 7d

    It's a really interesting point about the enthusiasm vs. fundamentals. While the reforms and JPY certainly help, I'm also wondering if some of the foreign capital flowing in is more about diversification away from other markets than a deep dive into Japanese corporate health. What's your take on the role of global fund flows here?

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