BofAML's Yamada Remains Bearish on Japan Equities Heading Into 2019

The video discusses the outlook for Japanese markets, highlighting a defensive stance on equities due to potential export slowdowns and election risks. It examines business sentiment and capital expenditure trends, noting external factors like global trade tensions. Strategies for equity allocations are explored, emphasizing defensive sectors. The Tank on survey results show better-than-expected indices, with CapEx trends indicating structural investments in new technologies. Challenges such as demographic constraints and labor shortages are addressed, with a focus on how trade wars may impact economic activities.

What external factors are currently affecting Japan's economic outlook?

How have large manufacturers in Japan responded to the current economic conditions?

What structural changes are Japanese companies making in response to labor shortages?