Stock prices continue to rise in the “Corona Shock” 22:08 on June 5

World economy facing "corona shock". The economic statistics released last month and this month reveal the unprecedented economic downturn, but stocks of companies have been bought in the US and Japanese stock markets, and stock prices have continued to rise.

A rising trend is noticeable in the New York stock market

Especially in the New York stock market, the upward trend is remarkable.

On the 8th of last month, the unemployment rate deteriorated to the worst level after the war, when the US economic index "employment statistics", which was the most noticeable in the world, was released. However, the Dow Jones average stock price rose 455 dollars on the New York stock market that day. Despite the shocking content, many investors perceive that "employment was originally assumed to have deteriorated. This is effectively the bottom of the economy." I turned to the movement toward. After this, buying orders expanded in anticipation of a recovery in the economy.

April sales of supermarkets and department stores such as supermarkets, which were announced on the 15th, were also the worst record-breaking prices ever. However, Dow's average stock price rose on this day as well. The next business day also saw a significant increase of over $900.

There is an increasing view that corporate performance will decline if the reality of the economic downturn becomes clear, and stock prices tend to fall, but the opposite is true.

The reverse movement is also in Japan

This reverse movement is also seen in Japan.

On the 18th of last month, it was revealed that GDP (Gross domestic product) for the second straight year from January to March was negative for the second consecutive term, but the Nikkei stock price rose on that day. This week, it was revealed that car sales and department store sales were on a record drop in May, and despite the fact that the economic trend index was announced on the 5th, the extent of deterioration was the highest ever, The Nikkei Stock Average has risen, rising for the fifth consecutive day.

Expert "Economic recovery is emerging faster than expected"

Regarding the recent rise in stock prices, Hideyuki Ishiguro, senior strategist at Daiwa Securities, said, "The economic recovery is emerging more quickly than expected. Investors who once thought that the economic recovery was slow are buying back shares." I am.

Regarding the fact that stock prices are rising in the form of a recession in the economy, he said, "At the time of a shock, the economy and stock prices fall to the point where they have gone too far, so the reaction is great. However, it is a characteristic of the past crisis that it will catch up with the stock price later."

On that basis, regarding the outlook for the future economy, "In a nutshell, I think it will recover in a V-shape. It is because each country is strongly supporting the economy with a combination of monetary and fiscal policies. The stock price will also rise toward the end of the year. Is likely to continue."

Expert "Strong monetary easing appears in stock prices"

Mr. Tomoichiro Kubota, senior market analyst at Matsui Securities, commented on the recent rise in stock prices. "The stock prices show that the central banks of the US, such as the Fed of the United States and the Bank of Japan, are implementing strong monetary easing. Considering future business forecasts, it is quite expensive.”

On top of that, "the stock price is likely to rise immediately. However, it is unclear in the medium term. There are many reasons for the stock price to fall due to the re-infection of the new coronavirus, the friction between the United States and China, etc." Said.

Regarding the economic outlook, he said, "It is not in a state where economic activities can be carried out with peace of mind because a new coronavirus vaccine has not yet been developed. It will take another year or two for a complete economic recovery." I am.