For the First time in 30 Years the Japanese Stock Market Soared Above 30,000 Points

For the first time in 30 years, the Japanese stock market soared above 30,000 points! The major stock indexes in Asia and Europe rose across the board, and oil prices also hit a new high in more than a year…

Asia-Pacific stock markets, European stock markets, and international oil prices are all rising today (February 15)! Among them, the Nikkei Index recovered the 30,000-point mark for the first time since 1990, and the international oil price hit the highest since January 2020. The external market continues to rise, which will definitely have a positive impact on the opening of the A shares after the holiday.

After the Nikkei 225 index touched 30,000 points for the first time since 1990 in early trading today, the Nikkei 225 index closed up 1.9% in one go, to 30084.15 points, regaining the 30,000 point mark for the first time in 30 years. The Topix Index closed up 1% at 1953.94 points.

On the evening of February 13, another 7.3 earthquake occurred in the waters of Fukushima, Japan, although the tremor was felt strongly and affected Tokyo. But for the stock market, it seems that the impact is small. On March 11, 2011, a major earthquake occurred in Japan and triggered a tsunami, causing the Japanese stock market to plummet by 20% in two days!

According to Japan’s Kyodo News Agency, data released today (15th) by the Cabinet Office of Japan shows that due to the impact of the new crown pneumonia epidemic, after excluding price changes, the initial value of actual GDP in 2020 will be 4.8% lower than the previous year, the first time in 11 years. It showed negative growth, the second largest decline since the relevant statistics in 1955, second only to the shrinkage in 2009 after the Lehman crisis.

Previous data released by the Japanese Cabinet on Monday showed that Japan’s fourth-quarter GDP data exceeded expectations. The actual annualized GDP in the fourth quarter increased by 12.7% from the initial value, which is expected to increase by 9.5% and the previous value by 22.9%. It shows that the Japanese economy is recovering from the impact of the new crown epidemic.

Except for Japan, on February 15, the major stock indexes in the Asia Pacific rose across the board. The Korea Composite Index closed up 1.50% to 3147 points. Australia’s S&P 200 index closed up 0.91% to 6688.90 points.

The major European stock indexes opened on the 15th and also rose across the board. As of press time, the British FTSE 100 rose 1%, the French CAC40 rose 0.91%, and the German DAX rose 0.39%.

International crude oil prices rose rapidly in February 2021. In Asian market transactions, US WTI International Crude Oil Futures reported about US$60.19 per barrel, an increase of 1.91%, and the highest intraday rose to US$60.33 per barrel, which was the highest since January last year. British Brent International crude oil futures broke US$60/barrel on February 8, and have since risen all the way. As of February 15, it was reported at approximately US$63.38/barrel, an increase of 1.52%.

The last time the oil price was at the level of US$60/ton was at the end of January 2020. Subsequently, the new crown epidemic spread across the world, slumping crude oil demand.

JP Morgan Chase published a rather unique view in the latest research report that commodities have begun to enter a new round of super cycle. Different from the strong demand in China that was the biggest driving force in the last round of the super cycle, this time, the driving force mainly comes from changes in capital and technology, especially the former.

In the view of the aforementioned quantitative team at JPMorgan Chase, if institutions including quantitative funds, momentum funds and other systemic investors hold short positions in commodities, they will be forced to cover. The initial cover is relatively slow, and then it will accelerate. .

JP Morgan Chase believes that CTA funds played an important role in the decline in oil prices in 2014. Since then, such funds have been increasing energy investment. The reason is that the momentum momentum in the next 12 months is beneficial to the upward trend of oil prices and the market prospects are also becoming optimistic. Considering that there has been historical short selling in crude oil before, the upcoming short-selling market may be thrilling.