Surprising export-led GDP growth. Inflation still in decline. Reduced trade deficit. Expansive monetary policy. Yen's decline falters. Attractive profits for Nikkei companies.

Key points

• Japanese economy surprises with +1.2% growth in Q2 and positive outlook once again
• Positive trend for the 2nd half
• Leading indicators still very uncertain
• Fall in real household income
• External account deficit narrowing
• Inflation continues its downward trend
• End of negative key rates for the BoJ?
• Yen yields still unattractive
• Interest rate differentials still unfavorable to the yen
• Satisfactory growth in listed company profits

Discover an extract from our weekly analysis below:

Full version