Financial assets held by Japanese households up 5% on higher stocks

Financial assets held by Japanese households at the end of June grew 5.0 percent from a year earlier to 1,590.11 trillion yen, the Bank of Japan said Thursday, reflecting rising share prices and higher market values of foreign currency-denominated deposits due to a weaker yen.

Cash and deposits held by households increased 2.0 percent to 859.84 trillion yen, while investment trust funds soared 29.0 percent to 71.85 trillion yen and shares and other equities jumped 31.4 percent to 128.90 trillion yen, the central bank's quarterly survey showed.

The outstanding balance of Japanese government bonds rose 3.0 percent to 969.27 trillion yen, while the outstanding balance of government bonds held by the BOJ hit an all-time high of 149.63 trillion yen, up 55.5 percent as it increases government bond purchases under its monetary easing policy.

Government bonds held by domestic banks dropped 14.2 percent to 137.37 trillion yen and those held by overseas investors fell 0.4 percent to 81.42 trillion yen, the BOJ said.

The BOJ's government bond holdings accounted for 15.4 percent of overall Japanese government bonds, surpassing bond holdings by domestic banks that accounted for 14.2 percent.