Japan stocks to hit 21-year high in 2017 on weak yen, election: RTRS poll

Results of the latest Reuters poll showed that the respondents see the Japanese stocks to record 21-year highs, in response to a weaker Yen and expectations that Japan’s PM Abe will emerge victorious in the snap election due on Oct 22nd.

Key findings:

 The Nikkei share average is expected to trade at 21,000 at year-end, up 2 percent from Tuesday's close of 20,614.07, and 10 percent higher for 2017

A move above the 20,952.71 level hit in June 2015 would cap its highest level since 1996. Three months ago, the consensus among forecasters polled by Reuters had the Nikkei at 20,750 at the end of the year.

The index is now forecast to reach 21,150 by end-June 2018.

Poll respondents also appear to be optimistic Abe’s gamble on a snap election will end up with him keeping his conservative Liberal Democratic Party-led coalition majority in parliament’s lower house.

Reuters polled a total of 28 analysts and fund managers in the past week