Nikkei hits record high after pension reform announcement

<p>Japan shares extended gains to a seven-year high after Shinzo Abe announced pension reforms.</p>

Japan shares extended gains to a seven-year high today (September 19th) after prime minister Shinzo Abe unveiled plans to reform the country's pension system as soon as possible.

"I believe GPIF (Government Pension Investment Fund) reforms are extremely important …. I would like to review its portfolio as soon as possible," he said in a speech. 

Investor mood was also boosted by a positive lead from Wall Street and the yen sudden drop after the Scottish voters rejected a bid for independence and averted a break-up of the United Kingdom.

In addition, sentiment was also lifted by the Federal Reserve decision to keep interest rates low.

The Nikkei share average rose 1.8 per cent to 16,354.23, the highest point since 2007. The broader Topix gained 1.4 per cent to 1,335.71, and the JPX-Nikkei Index 400 added 1.5 per cent to 12,121.06. 

Learn about the Asian markets and CFD trading at City Index.


Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.