Managers warn of Japan GDP hit but impact less than Kobe

clock •

Fund managers warn Japan could take a short term hit to GDP following last week's earthquake and tsunami, but they are less concerned about the longer-term impact on the country's fragile economic recovery.

The catastrophic events on Friday hit Japan's stockmarket with the Nikkei 225 falling 6.2% on its first day of trading in the aftermath, despite the Bank of Japan announcing a cash injection of $183bn to bolster the economy. Fund managers and economists have spent the weekend trying to weigh up the implications of the disaster on Japan's economy which is struggling to recovery to pre-financial crisis levels. The Japanese economy grew 3.9% last year, its fastest performance in two decades. But output is still well below levels set before the global financial crisis and GDP actually con...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

Fahad Hassan: When good news becomes an inflation problem

Fahad Hassan: When good news becomes an inflation problem

'Markets have been adjusting to the risks through valuations all year'

Fahad Hassan
clock 29 September 2026 • 6 min read
Healey promises 'new age of industrialisation' ahead of Budget

Healey promises 'new age of industrialisation' ahead of Budget

Keeps quiet on personal taxation, pensions or savings at Labour’s conference

Isabel Baxter
clock 28 September 2026 • 2 min read
MPs warn policymakers to stop using OBR as scapegoat for tough fiscal decisions

MPs warn policymakers to stop using OBR as scapegoat for tough fiscal decisions

Treasury Committee report

Jack Roach
clock 23 September 2026 • 2 min read