Monetary easing and optimism about the economy pushed the Nikkei stock index above 20,000 points for the first time in 15 years Friday, but analysts warn that share prices may be higher than warranted by the real economy.
Some see the stock gains as a victory for Prime Minister Shinzo Abe, who is seeking to end more than a decade of economic malaise. The Nikkei has doubled in 2½ years since Abe's predecessor dissolved his Cabinet.
Abe's pledge to revive the deflation-dogged economy with monetary easing and public works spending triggered a sharp fall of the yen and brightened major exporters' profit outlook.