The Japanese equity market dropped in October, with the TOPIX (w/dividends) falling 9.41% and the Nikkei 225 (w/dividends) declining 9.04% on-month. For the first half of the month, stocks moved upward as concerns over trade friction eased after the US, Mexico, and Canada reached a deal on the renegotiation of the North American Free Trade Agreement (NAFTA). However, Japanese equities subsequently fell after stocks in the US and around the world dropped sharply on concerns over a rapid increase in US long-term interest rates. The downward trend continued in the latter half of the month, as disappointing economic indicators in China spurred concerns over a slowdown in the country’s economy. Stocks were further pressured by fears that relations between the West and Saudi Arabia would grow strained, following the suspicious death of a Saudi journalist, as well as on heightened concerns that Italy may abandon the euro due to fiscal problems.
This material has been prepared solely for the purposes of Nikko AM to communicate about the market environment, etc. It is not solicitation for a specific fund. Moreover, the information in this material will not effect Nikko AM's fund investment in any way.
Mentions of individual stocks in these materials neither promise that the stocks will be incorporated nor constitute a recommendation to buy or sell. The information in these documents have been prepared from what is considered to be reliable information but the accuracy and integrity of the information is not guaranteed by the Company. Figures, charts, and other data in these materials are current as of the date of publication unless stated otherwise. In addition, opinions expressed in these materials are as of the date of publication unless stated otherwise.
* The graphs, figures, etc., contained in these materials contain either past or back-dated data, and make no promise of future investment returns, etc. These documents make no guarantee whatsoever of future changes to the market environment, etc.
Opinions expressed in these documents may contain opinions that are not Nikko AM's but the personal opinion of the author, and may be changed without notice.