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Strategies & Market Trends : JAPAN-Nikkei-Time to go back up? -- Ignore unavailable to you. Want to Upgrade?

To: Step1 who wrote (1294)	7/24/1998 3:39:00 AM
From: fut_trade	Read Replies (1) \| Respond to of 3902

"Of the three, it's the most disappointing outcome, but it doesn't make all that much difference." I think this says it all! INSTANT VIEW-Market views on Obuchi as Japan PM TOKYO, July 24 (Reuters) - Following are reactions from economists, traders and other market participants on Keizo Obuchi winning leadership of Japan's Liberal Democratic Party and thus the premiership. GILES OKENDEN, EQUITIES STRATEGIST, JARDINE FLEMING ''I don't think it makes a great deal of difference in terms of the problems that are facing Japan on the economy and corporate earnings and all tnd we are going to be stumbling to elections at some point, probably earlier than intended. Of the three, it's the most disappointing outcome, but it doesn't make all that much difference.'' LOUIS ROSS, STRATEGIST, MERRILL LYNCH JAPAe with other factions outside the LDP to form a powerful political unit, implying chances of an early general election.'' KENNETH LANDON, CHIEF STRATEGIST, DEUTSCHE BANK: ''First, (Keizo) Obuchi's win as head of the ruling Liberal Democratic Party will mean that the likelihood of (upcoming) legislation being passed is better than (if either of) the other two candidates (had won), and will likely prove better for the markets. ''But in terms of the big picture, it really doesn't matter who got elected because it won't solve Japan's underlying fundamental problems. So I see the dollar keeping a bullish tone.'' MICHAEL WILKINS, DEALER AT CREDIT LYONNAIS ''He's got a lot to prove. It l it looks like he's getting the benefit of the doubt from the markets. That (his unpopularity with the public) could change if he comes up with right policy mix. ''The cabinet postings will be particularly important, especially if the runner-up (former chief cabinet secretary Seiroku Kajiyama) gets the Finance Ministry post.'' TOKYO, July 24 (Reuters) - Following are reactions from economists, traders and other market participants on Keizo Obuchi winning leadership of Japan's Liberal Democratic Party and thus the premiership. GILES OKENDEN, EQUITIES STRATEGIST, JARDINE FLEMING ''I don't think it makes a great deal of difference in terms of the problems that are facing Japan on the eco is still going to present problems and we are going to be stumbling to elections at some point, probably earlier than intended. Of the three, it's the most disappointing outcome, but it doesn't make all that much difference.'' LOUIS ROSS, STRATEGIST, MERRILL LYNCH JAPAN: ''I think in the past several days the markets were discounting the possibility of Obuchi coming in. But I think the market really needs to look at what he really stands for. I think they misution may depart from the LDP and merge with other factions outside the LDP to form a powerful political unit, implying chances of an early general election.'' KENNETH LANDON, CHIEF STRATEGIST, DEUTSCHE BANK: ''First, (Keizo) Obuchi's win as head of the ruling Liberal Democratic Party will mean that the likelihood of (upcoming) legislation being passed is better than (if either of) the other two candidates (had won), and will likely prove better for the markets.nk there's rather too much desire to paint Obuchi as the bad guy, as a stick-in-the-mud, whereas in reality he's being saying the right things and has a reasonable power base, which means he can get the right things done.'' KEIKO KONstatus quo, so traders harbour doubts about his willingness to carry out drastic economic reform. ''If Seiroku Kajiyama, who has said in the past that the number of banks may be halved, had won, it would have put upward pressure on money rates. ''Traders feel that Obuchi's victory means there is no chance that Kajiyama will join the cabinet as finance minister. Short-term rates may rise if, in a surprise move, he is chosen for the post.''