Japanese Shares Rally to Highest Since February on Yen Losses
- The Topix rises 19% from February low, nearing bull market
- Mitsubishi UFJ leads bank stocks higher as bond yields climb
Rex Shares' King: Be Cautious in Emerging Markets
Shares in Tokyo rose, closed at the highest level since February and flirting with a bull market, as a weaker yen buoyed exporters and banks surged amid a global rebound in borrowing costs.
The benchmark Topix index is less than 15 points away from reaching 1,435.54, which would represent a 20 percent increase from a low reached Feb. 12. After hitting a near three-year high against the dollar in August, the yen has been pulling back, allowing investors to regain appetite for Japanese equities that are heavily reliant on export earnings. As investors increasingly bet on the likelihood of faster-than-expected interest-rate increases in the U.S., optimism is spreading for a long-awaited earnings recovery in corporate Japan.