Japan's stock market rally will continue in the second half, but with a key shift, BlackRock says
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jul 10 2024
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Should l Buy EWJ?
Source: CNBC
- Japanese Stocks Rally Continues: BlackRock Investment Institute predicts the rally for Japanese stocks will persist in the second half of the year.
- American Investors' Participation: The best way for American investors to join the rally may change, with a recommendation towards overweighting on Japanese stocks.
- Currency-Hedged vs. Unhedged Investments: BlackRock's outlook favors Japanese investments that are not currency-hedged, despite the yen's historic slide against the U.S. dollar.
- Performance Discrepancy: Currency-hedged Japanese funds like HEWJ are outperforming their unhedged counterparts in 2024.
- Positive Outlook and Support: Both BlackRock and Goldman Sachs Asset Management are optimistic about Japan's equity market performance, citing structural changes and potential stabilization of the yen.
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About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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