The recent announcements from Tokyo about increased equity allocations for the massive Government Pension Investment Fund (GPIF) and more stimulus from the BoJ has sent the Nikkei rocketing to new 7-year highs; levels that have not been seen since before the global financial crisis of 2008/09. Has the Nikkei rally run out of steam? From basic macro-fundamental perspective, the Nikkei 225 appears overvalued - Japan is struggling to permanently eradicate deflation and spur economic growth. However, the Nikkei’s surge higher has less to do with the fundamentals of Japan’s economy and more to do with equity ... (full story)