Japanese Retail Investors Buy Dip at Record Pace
Japanese individual investors purchased $5.9 billion in local equities in the week ending June 26, the largest weekly total on record, while foreign funds sold $7.7 billion.
Japanese retail investors set a new weekly record by buying $5.9 billion in domestic equities during the week ended June 26, according to data cited by The Kobeissi Letter. The buying spree comes after retail investors had sold $6.0 billion over the prior two weeks.
At the same time, foreign funds offloaded $7.7 billion, marking the largest weekly outflow from Japanese equities since March. The divergence highlights contrasting strategies: domestic dip buyers stepping in while overseas investors pare exposure.
Stocks tied to artificial intelligence and semiconductors suffered the heaviest losses last week. SoftBank, Kioxia, and Furukawa Electric each declined at least 12%. Despite the pullback, the Nikkei 225 surged 37% in the second quarter of 2026, its best quarterly performance on record, driven largely by AI-related names.
The pattern of retail dip buying is not confined to Japan—similar behavior has been observed globally.
Source: The Kobeissi Letter