I like to trade cryptocurrencies, retail, so that's how I pretend to be important in the family, so I deal with the stock market, and then I came to the fact that in Tokyo the average value of shares on the Tokyo Stock Exchange before the New Year reached its highest level in 30 years. .The average value of shares on the Tokyo Stock Exchange on December 29 reached the level of 27,500 yen, which is the highest value since 1990, that is, since the last days of the great economic bubble that Japan experienced in the 1980s.
This is believed to have been directly influenced by the fact that US President Donald Trump approved a package of measures to stimulate the economy and social assistance in his country, which caused the growth of shares in the world's largest economy, whose financial market and economy are closely linked to Japan. .
While stock traders are quietly rejoicing, 59 people died of the new coronavirus in Japan on the same day, and a record number of people in serious condition was recorded as a result of the virus.
When it became clear in March that the epidemic caused by the new coronavirus would not be stopped, the average value of stocks in Japan fell to about 16,000 yen, but then began a recovery that did not stop until the end of the year despite the alarming consequences of the epidemic on human lives and real economy.
The calming of anxiety among stock traders in Japan was then positively affected by the decision of the US Federal Reserve to embark on an unprecedented unlimited purchase of government and other bonds, and then the adoption of a government package in Tokyo to stimulate consumption and save restaurants, travel agencies and transport companies. and other economic entities affected by the introduction of emergency measures and the interruption of the flow of people abroad.
Experts in Japan cite lessons learned from the economic crisis in 2008 as factors that have influenced the continued growth of stock values from the spring until today, despite the slowdown in the real economy, the constant danger of bankruptcy of a large number of businesses and rising unemployment. trade between banks as it happened then, and the great results that companies in the field of information technology and artificial intelligence have achieved thanks to work from home and accelerated digitalization in recent months.
In the last quarter, optimism on the Tokyo Stock Exchange, which lists 3,756 companies and is the largest in Asia in terms of the total market capitalization of listed companies, was also contributed by the news that the effectiveness of several coronavirus vaccines has been determined and vaccination is starting.
It should be said that the stock market in Japan is not unique in terms of the multi-month growth trend at the time of the epidemic, but that the same trend has been realized since the spring.
The number of bankruptcies and unemployment, and even suicides caused by economic and other anxiety, is on the rise, but analysts announce further growth in the value of shares next year because they believe that the trend of monetary loosening and growth of IT companies will continue in 2021. the reintroduction of emergency measures this winter despite the spread of the epidemic.
In the event that the vaccination of the population is advancing, which should start in Japan only in February or March, brokers believe that the average value of shares could reach a psychologically important level of as much as 30,000 yen.
Thus, it seems, in the coming months, the contrast between the dark reality, sadness and fatigue in hospitals, and uncertainty in many branches of the economy on the one hand, and the upbeat mood on the stock market on the other, will deepen.
