Japan’s Nikkei share average is expected to ease off record highs by year-end due to uncertainties surrounding a fragile trade agreement with the United States. The index hit 43,876.42 this week, up over 9% this year, but is forecasted to slip back to 42,000 by December. The Japanese economy heavily relies on exports, with GDP growing faster than expected in the second quarter. Corporate governance reforms and improving domestic wages are driving gains in Japanese stocks, with forecasts predicting the Nikkei to reach 45,500 by the end of 2026. Investors are also watching for a potential rate hike by the Bank of Japan and political changes in the country.

Read more at Yahoo Finance: Japan’s Nikkei to ease off record peak as trade honeymoon fades: Reuters poll