As the end of the Bank of Japan's decade of low interest rates approaches, foreign investors see attractive investment opportunities in Japanese banks. After the cancellation of negative interest rates in March, the Bank of Japan at a two-day meeting may announce an increase in interest rates and a reduction in bond purchases, ending the era of monetary stimulus. Investors who watched the Nikkei rise by 20% last year are closely monitoring the situation, trying to determine which companies will benefit from these changes. Analysts believe that Japan's exit from deflation and an increase in interest rates will lead to an increase in banks' incomes, which, in turn, will push up their share prices. During the year, banks attracted about 472 billion yen ($3.1 billion) in net purchases of shares, which is twice as much as flows into the automotive and components sector. Japan's three largest banks – Sumitomo Mitsui Financial Group, Mitsubishi UFJ Financial Group and Mizuho Financial Group – forecast record profits next year thanks to improved interest margins and increased demand for financing. The shares of these banks have increased by 53%, 39% and 36% since the beginning of the year, respectively.
RÝCHLE ODKAZY