41. Still, Japanese equity markets have taken a fall over the last two days. 42. That hurts the yen because global investors selling Japanese equities often convert the yen proceeds to other currencies. 43. The committee was set up to respond to the recent precipitous drop in the Japanese equity markets. 44. The budget impasse has weighed on Japanese equities and increased optimism that monetary authorities will maintain interest rates at historic lows to boost the economy. 45. The recovery in U.S. stocks would boost Japanese equities and weigh on bonds, said Masataka Sera, analyst at Sanwa Bank. 46. The stock market, in turn, has been weighed down by all that selling, along with a marked distaste for Japanese equities among foreign institutions. 47. There is concern, though, that a weaker yen could discourage foreigners from investing in Japanese equities. 48. They fear a continued slide by the Dow could further drive down Japanese equities. 49. This was largely attributable to the rebound in Japanese equities. 50. This may be a particularly ominous sign as foreigners have been the one group of investors supporting this market as net buyers of Japanese equities since late May. |