Foreign investment in Japanese stocks has swung sharply back into positive territory, with the latest data showing net inflows of ¥912.1 billion, updated as of 29 July 2026. This marks a striking turnaround from the previous reading of ¥-81.9 billion, when foreign investors were net sellers of Japanese equities.
The reversal suggests a renewed appetite for Japanese risk assets among overseas investors after a period of outflows. While the underlying drivers are not detailed in the release, the scale of the shift from negative to strongly positive flows underscores a notable change in sentiment toward Japan’s stock market. Market participants will now be watching to see whether this surge in foreign buying proves to be the start of a sustained trend or a short-lived repositioning.
