BlackRock joins Japan pullout; Abenomics blamed

Tokyo

FOR global equity investors and Shinzo Abe, it's splitsville.

Starting in the first days of 2016, foreign traders have been pulling out of Tokyo's stock market for 13 straight weeks, the longest stretch since 1998. Overseas traders dumped US$46 billion of shares as economic reports deteriorated, stimulus from the Bank of Japan backfired and the yen's surge pressured exporters. The benchmark Topix index is down 18 per cent in 2016, the world's steepest declines behind Italy.

Losing the faith of foreigners would be a blow to the Japanese prime minister - they're the most active traders in a market Mr Abe has held up as a litmus on his growth strategies. "Japan is back," and "Buy my Abenomics!" he proclaimed during a visit to the New York Stock Exchan…