Japan Tag

Mid-Quarter Update: What Does Transitory Mean?

02 Sep, by Steven Vannelli, CFA in Economy, Markets, Portfolio Management

In this Mid-Quarter Update, we discuss our analysis on the following topics: -Recent readings on consumer confidence have rolled over. The surveys are validated by the stagnation in real consumer spending in the last few months. -In conjunction with the slowdown in house sales and durable goods...

Spotlight DeNA: Embracing the User’s Point of View

25 Mar, by Knowledge Leaders Team in Knowledge Leaders

Pronounced “D-N-A,” this Knowledge Leader was founded in 1999 by three Tokyo entrepreneurs seeking to establish an online auction site. Today the company operates a broad range of mobile and online services including online shopping, mobile auctions, social networks and game platforms. DeNA attributes the...

The Fundamental Case for Japanese Stocks

15 Nov, by Bryce Coward, CFA in Markets, Portfolio Management

We’ve been arguing for the last year that US-based investors would be well served to overweight foreign versus domestic equities. In this post we’ll dig into that topic a little deeper to try to convey a few of the company specific fundamental drivers of our...

More Evidence of China Slowing Permeating Asia – 7/31/2015

31 Jul, by Bryce Coward, CFA in Economy

In today's edition we highlight just a few data points: the South Korea Business Survey Index making a new low, Japan consumption expenditure having a very weak month, and Japan CPI headed back toward zero. The slowing of the biggest economy in Asia is really...

More Evidence of China Slowing Permeating Asia – 7/9/2015

09 Jul, by Bryce Coward, CFA in Economy, News

Yesterday and today were host to a few more macro data points all signaling basically the same thing - a synchronized slowdown in Asia which appears to be driven by China. In the five charts below we show that Chinese CPI remains anemic while PPI...

The Market Continues to Vote for Japan Over Europe

24 Jun, by Bryce Coward, CFA in Markets

Despite Japanese stocks outperforming European stocks by 7% YTD and 14% over the last year, the investment community has continued to basically ignore Japan in the commentary we read. But, for those who have been overweight Japan it has been a good ride. The MSCI...

It’s Japan, not Europe, that Continues to Lead in 2015

03 Jun, by Bryce Coward, CFA in Markets

Despite the popular news media focusing all their attention on European reflation, Draghi's QE, Grexit or no Grexit, etc, the real story for investors remains in the seemingly forgotten Japan. Indeed, year to date Japan has outperformed Europe by more than 7% in USD terms...

A Checkup on the Yen & Leaderhisp Trends Among Japanese Stocks

25 Mar, by Knowledge Leaders Team in Markets

After two years of devaluation, the Japanese Yen is quite undervalued by our work.  In the first chart below, we show the JP Morgan broad and narrow Japanese Yen relative to long-term trendlines. By these measures, the yen is around 25% below the 25 year...

Another Package of Weak Japanese Economic Data

29 Aug, by Knowledge Leaders Team in Uncategorized

Today saw another weak package of weak economic data out of Japan. Some highlights were industrial production turning negative year-on-year, real personal income and consumption expenditure posting another round of deep year-on-year declines, and housing starts which continued to plummet year-on-year....