Japan Unlikely to Fall Into Recession in 2019, Says Goldman Sachs's Matsui

The video discusses Japanese equities, currency forecasts, and economic scenarios, highlighting the potential impact of a weaker yen on profit forecasts. It explores the risks of recession, trade tensions, and sales tax hikes, while emphasizing the resilience of Japan's GDP components like CapEx and consumption. Investment opportunities in factory automation and service consumption are identified, despite market volatility. The video concludes with a discussion on monetary policy, the BOJ's strategy, and the potential effects of Fed rate changes.

What is the new assumption for the yen against the US dollar for fiscal 2019?

• 110

• 105

• 108

• 100

What is the expected earnings growth for Japan in fiscal 2020?

• 3%

• 5%

• 7%

• 10%

What could cause the yen to fall into the 80s range according to a former BOJ economist?

• A rise in inflation

• Increased foreign investment

• A recession in Japan

• A trade surplus

What percentage of Japan's GDP is made up of private domestic demand?

• 75%

• 66%

• 60%

• 50%

What measure is the Japanese government taking to mitigate the impact of the sales tax hike?

• Lowering corporate tax

• Increasing subsidies for exports

• Leaving food items at 8%

• Reducing income tax

Which sector is highlighted as having strong growth prospects despite recent challenges?

• Real estate

• Factory automation

• Banking

• Retail stocks

What is the BOJ's likely stance on monetary policy given the current economic risks?

• Increasing interest rates

• Immediate tapering

• Maintaining ultra-easy monetary policy

• Aggressive tightening