Japanese NIKKEI (JAP225) gained 1.91% today and closed above the 30,000 pts mark for the first time since August 1990. The last time the Japanese index has been trading at such high levels was when Japanese asset price bubble of the late 1980s and early 1990s was bursting. While stocks in the United States and Europe are painting fresh all-time highs, indices from Japan are still trading significantly below their record levels. Following a 90% jump off the pandemic lows, Nikkei still trades over 20% below its record intraday high (reached on December 29, 1989 at the level of 38,957 pts). Better-than-expected Q4 GDP report from Japan can be seen as one of the factors supporting JAP225 today. Data showed an expansion of 3% QoQ in the final three-month period of 2020 (exp. 2.3% QoQ). Economy also grew 1.2% in year-over-year terms.
Nikkei (JAP225) broke above 30,000 pts for the first time since August 1990. The index has been respecting market geometries during recent recovery run therefore any drop smaller than 2,000 pts should be seen just as a correction. Source: xStation5
