The Stock Market Where Fundamental Research Goes Out the Window
- Japanese shares are tumbling despite strong corporate earnings
- That’s because the currency is a lightning rod for bad news
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Call it the dilemma of the Japanese equity investor.
By all traditional methods of analysis, the country’s shares should be thriving. Valuations are low, profits are strong, and shareholder returns are higher than ever. And that’s even before you add unprecedented stimulus by the Bank of Japan, and an economy cruising to its longest run of growth in decades. For investors who did the research, being a bull seemed the logical choice.