Investors become cautious


Remaining bullish: People walk by an electronic stock board of a securities firm in Tokyo. Analysts are predicting the Nikkei will ride a US-led recovery to 32,000 this year. — AP

TOKYO: A scorching rally in Japanese shares that appeared to have run ahead of economic prospects has stalled, but analysts are betting it will resume as early as mid-year as the country’s heavily cyclical stocks thrive on global growth.

A world-beating 33% rally in the Nikkei 225 from the end of October has faltered around the 30,000 mark since mid-February, even as other major stock indexes reached for new highs almost every week, led by US equities.

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