Doubts remain about restructuring

The Japanese market has fallen, led by technology shares, reflecting the decline in Nasdaq. Risks remain, but, assuming steady economic growth, a continuing recovery of profits and an absence of major shocks, the index could recover in the coming year. Economic indicators point to moderate expansion at best. On the positive side, although the rate of increase has probably peaked, industrial production should continue to expand, led by technology. Consumption could also recover gradually over the coming year. Companies remain under pressure to cut costs, but helped by higher production, th...