The Nikkei closes the year up by 4.9% to 28,791.71 while the Topix gained by 10.4% to 1,992.33. Both indices are recording their highest year-end close since 1989.
It has been a bit of a challenging year at times for Japanese stocks, particularly after the BOJ revamped its guidance on ETF purchases back in March. Some notable headlines from the decision at the time:
- BOJ policy review: Drops 6 tln yen ETF buy target, maintains 12tln yen ceiling
- Nikkei sinks, Topix surges on BOJ ETF decision
- BOJ's Kuroda: We did not expand the yields band with today's decision
- BOJ's Kuroda: Not thinking about widening JGB yields band for now
Since March, Japanese equities have struggled somewhat to build on gains but the Topix is able to outperform still amid the shift in focus on ETF purchases in general. 2022 may be a tougher year to navigate but be reminded that the BOJ commitment is still in place.
