November 17, 1995 |
Two things about market bubbles: First, it's often hard for investors to admit when they're in one. Second, when guessing how big a bubble can get, it's often wise to err on the high side. With the Dow Jones industrial average already up 30% this year, 89% since 1990 and now just 31 points from the 5,000 mark, stocks' incredible resilience astounds even some of the most ardent bulls. As for the bears--well, nobody likes to be played for a fool, and anyone betting against U.S.
May 30, 1995 |
Japanese stocks fell Monday, hit by continuing fears that the yen's strength against the dollar may hold, driving down futures. But the market partially recovered later in the day. In Germany, yields fell on expectations of an interest rate cut. Most markets worldwide traded thinly due to holidays in the United States and Britain. The 225-share Nikkei average lost 120.22 points, or 0.77%, to close at 15,574.03. It had been down more than 200 points in early trading.
January 31, 1995 |
Stocks moved sharply higher in Tokyo on Monday, boosted by hopes that Japanese banks are finally starting to confront their burden of hundreds of billions of dollars of bad debt. The 225-stock Nikkei index jumped 648.53 points, or 3.6%, to close at 18,752.88 Monday. This was the Nikkei's steepest one-day gain since Jan. 31 last year, when it rose 1,471.24 points to 20,229.12 in response to passage of political reform bills by Japan's parliament.
November 25, 1994 |
Stocks tumbled on the Tokyo Stock Exchange to a 10-month low Thursday, but British shares edged higher and the dollar rose against foreign currencies on overseas markets. Oil prices edged higher and gold was mixed. Financial markets in the United States were closed in observance of Thanksgiving, sidelining many overseas players who ordinarily take cues from U.S. activity.
June 1, 1994 |
Foreign money is pouring into Japanese stocks again, convinced that the Japanese economy's four-year slide is over and that a robust corporate profit turnaround is imminent. Many foreign buyers also are betting on another, perhaps more important turnaround: a change in Japanese investors' gloomy view of their market, which has left most of them watching unimpressed on the sidelines as the gaijin (foreigners) snap up Japanese shares. The Nikkei-225 stock index has soared from 17,417.
May 31, 1994 |
Tokyo's Nikkei posted a new 1994 closing high for the second trading day in a row Monday, but most world markets changed little on low volume because of holidays in the United States and Britain. Tokyo share prices advanced on continued buying by European investors, traders said. One trader said more upbeat corporate profit projections encouraged the market. The 225-issue Nikkei Stock Average closed at 20,838.97, up 61.81 points, or 0.30%. On Friday, the average gained 281.36 points to 20,777.
April 26, 1994 |
The political chaos that hit Japan's government early today, just 12 hours after the election of new Prime Minister Tsutomu Hata, may derail an expected economic recovery and lead to worsening trade friction with the United States. Much depends, however, on how long the collapse of Hata's ruling coalition delays policy-making. The risk of stalemate is also balanced, to some degree, by the possibility that current upheavals will eventually bring a more stable political structure.