Weekly macro perspectives: China & Japan – will the divergence persist?

Weekly macro perspectives: China & Japan – will the divergence persist?

Key Takeaways

  • Policy announcements that include a $278 billion rescue package have given Chinese equities a boost.
  • Longer-term, economic fundamentals will likely remain the key driver – deflation remains an issue and authorities need to defuse the property bubble.
  • Despite near-term challenges, China remains a potential beneficiary of long-term strategic planning around themes like clean energy.
  • Japanese equities continue to benefit from ongoing improvements in corporate governance as well as the country’s gradual exit from deflation.
  • Despite some concerns about an appreciating yen, the outlook for Japan remains a broadly positive one.
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Robert Plant
Robert Plant
Director, Portfolio Manager, Multi Asset Solutions

Robert is a Director and Portfolio Manager in the Multi-Asset team providing macro strategy input to a range of investment portfolios. Robert joined Columbia Threadneedle through the acquisition of BMO GAM (EMEA) in 2021, having previously been with BMO since October 2013. Before joining the group he worked for GLC’s Global Macro programme for six years. Prior to this he was at Deutsche Asset Management as a securities analyst. Robert has an honours degree in Business and Financial Economics from the University of Leeds and has a Certificate in Quantitative Finance (CQF).

Robert Plant

Key topics

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