Tokyo’s Olympic Win Seen Adding to Abenomics as Stocks Advance

Tokyo’s winning bid to host the 2020 Olympics drove stocks higher today and may boost consumer confidence, playing into Prime Minister Shinzo Abe’s plan to revive the world’s third-biggest economy.

With the economy already rebounding from the impact of Abe’s so-called three arrows of monetary easing, fiscal stimulus and reforms, winning the games bolsters optimism that Japan will succeed in quelling deflation and stoking domestic demand. The nation’s gross domestic product increased more than previously estimated in the second quarter, expanding an annualized 3.8 percent compared with an initial estimate of 2.6 percent, data showed today.