Investors Take Long-Term View as Rate Hike Whipsaws Japan
- Hang Seng Investment, Goldman see economy withstand tightening
- Banks tumble even as higher rates are seen boosting profit
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This past week’s rate hike in Japan hammered the benchmark index the most in eight years. Despite the turmoil, some investors still have faith in the long-term outlook for the country’s stocks.
The Bank of Japan’s decision on Wednesday to raise rates to 0.25% sent a wave of volatility through the market, with the Topix jumping 1.5% on the day, only to plunge on both Thursday and Friday.