Foreign Flow to Japanese Cash Equities Jump Before LDP Vote

Foreign investors bought a large amount of Japanese cash equities last week while selling slightly more futures, suggesting their stance was almost neutral in the run-up to the ruling party’s election that effectively determines the nation’s prime minister.

Data from Japan Exchange Group Inc. showed they bought ¥1.24 trillion ($8.11 billion) of cash equities in the week to Oct. 3, the biggest net buying since April 2013. That was offset by ¥1.29 trillion selling through futures contracts.