China crucial in Japan's recovery

Japan is moving out of the doldrums and has seen improving growth prospects. Consumer confidence is rising, companies have been restructuring and the growth of China is helping the country. Rob Cresci, senior portfolio manager on the non-US small caps at Sagitta Asset Management, says: "Growth in Japan is coming off demand from China." According to Julie Dent, director of global equities at Isis Asset Management, Japanese companies have recognised the need to shift up the value chain. She says: "China is very important in this respect, providing a low cost manufacturing base while the...