To use this site, please disable the ad blocking feature and reload the page.
This website uses cookies to collect information about your visit for purposes such as showing you personalized ads and content, and analyzing our website traffic. By clicking “Accept all,” you will allow the use of these cookies.
Users accessing this site from EEA countries and UK are unable to view this site without your consent. We apologize for any inconvenience caused.
REUTERS/Kim Kyung-Hoon/File Photo Examples of Japanese yen banknotes are displayed at a factory of the National Printing Bureau producing Bank of Japan notes at a media event in Tokyo, Japan, November 21, 2022.
Reuters
17:27 JST, June 6, 2024
Foreign investors were net buyers of Japanese stocks last week after four consecutive weeks of selling, as U.S. bond yields declined from a one-month high, driven by softer economic data that hinted at potential Federal Reserve rate cuts this year.
They poured about 75.41 billion yen ($482.96 million) into Japanese stocks in the week ended May 31, data from stock exchanges showed.
Foreign investors primarily targeted derivatives last week, marking a second consecutive week of net buying with approximately 188.03 billion yen in contracts.
Meanwhile, the Japanese cash equities market continued to see net foreign outflows, totalling 112.62 billion yen.
A decline in U.S. bond yields supported risk assets last week. The yield on benchmark U.S. 10-year notes US10YT=RR has lost about 35 basis points since hitting a one-month high of 4.638% on May 29.
The Topix index rose 1.09% last week, thanks to a bounce from its 50-day exponential moving average during the week, while the Nikkei declined by 0.4%.
Foreigners, meanwhile, accumulated about 337.4 billion yen worth of long-term Japanese bonds, posting their third weekly net purchase in four.
They also acquired about 482 billion yen of short-term debt securities after 1.68 trillion yen worth of net selling in the prior week.
Japanese investors secured about 1.32 trillion yen worth of long-term overseas bonds in contrast to 310.4 billion yen worth of net withdrawals a week earlier.
They, however, sold about 130.2 billion yen worth of short-term overseas debt instruments.
Japanese investors, meanwhile, remained net sellers of foreign equities for the second successive week with about 588.7 billion yen worth of net disposals.
