fbpx

Japan’s Olympic Win – a huge economic bonus?

This week saw Japan awarded to 2020 Summer Olympics. And may prove to be a most welcome shot in the arm for the beleaguered Japanese Economy.

The stock market there certainly bounced well on the news,  too well in fact for us to get safely set on Nikkei Trader on Monday. Preparing for an Olympics is truly an Olympic feat. No pun intended, with billions going into infrastructure and redevelopment.

Japan Olympics Win Economic Boost 2020

Having skied at both Nagano (1998 host City), Salt Lake City, and Utah (2002 host City). There is no question that there is a lasting legacy of infrastructure and tourism spending. My personal preference is Deer Valley, Utah (strongly recommend the Bison Burger at the No Name Saloon, after a long day in the powder). Although Nagano is certainly a far better value/significantly cheaper play in a more cost conscious environment.

Japan has the world’s most ageing population ie proportion over 50, of any major economy. And has crippled by the massive debt that has resulted from the 1989 stock market and 1990s real estate crash. However this kind of massive economic stimulation. And that of the pledged $500m in clean up aid to Fukishima, may be just what the country needs.

The risk is, of course, the traditional cost blow-outs associated with preparing for an event like this. And vast cost over-runs could turn an economic win into a toxic chalice of further debt. Over the coming years, we will see this unfold and to be honest, I don’t have a view as to whether it will be a profitable Olympics for the hosts.

However, at the other end of the scale – where we trade with Nikkei Trader. The five minute bars are what hold our attention. Nikkei Trader has been solid this year, with a positive points return. As a fully managed strategy. It provides 100% passive exposure to the short-term price moves in the Japanese equity index. And if you would like to take a look at how this works, click here.

Recent Post

Trader of the Year 2023

Retiring without enough income is a terrifying prospect for most people. But would you be worried about retiring if your investment income was $518k for

Read More »

Ruchira Gulati

I am enjoying my learning journey with Andrew. He explaines each and every thing in detail in tutorials. Team at AIE is always very helpful

Read More »

Ben Hathaway

The best in the business! The education and ongoing support is second to none. Highly recommend AIE if you are an experienced trader or want

Read More »

Christine Hermans

Unlike other programs that leave you high and dry Australian Investment Education are open and approachable at all levels of management. Their service is second

Read More »