Tune out of Japan’s politics – but buy Japanese stocks

Japan's recent general election was devoid of much interest. But the country's stockmarket holds plenty of appeal.

Fumio Kishida
Markets are still trying to gauge Prime Minister Fumio Kishida’s instincts
(Image credit: © Alamy)

Japanese voters “opted for stability” during a general election on Sunday, says The Economist. The ruling Liberal Democratic Party (LDP) lost seats but retained its majority. It now falls to prime minister Fumio Kishida to put bones on his “fuzzy” pledges to create a “new model of capitalism”.

The Topix stock index rallied by 1.8% on the morning following the vote. Investors were relieved that the election delivered a stable government, rather than the more fractured parliament polls predicted.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
Markets editor

Alex is an investment writer who has been contributing to MoneyWeek since 2015. He has been the magazine’s markets editor since 2019. 

Alex has a passion for demystifying the often arcane world of finance for a general readership. While financial media tends to focus compulsively on the latest trend, the best opportunities can lie forgotten elsewhere. 

He is especially interested in European equities – where his fluent French helps him to cover the continent’s largest bourse – and emerging markets, where his experience living in Beijing, and conversational Chinese, prove useful. 

Hailing from Leeds, he studied Philosophy, Politics and Economics at the University of Oxford. He also holds a Master of Public Health from the University of Manchester.