Japanese households increased net assets by 7.1%, reaching ¥2,386 trillion ($14.7 trillion) at March’s close, the second‑highest level on record, the Bank of Japan’s quarterly flow‑of‑funds report shows. The rise signals stronger consumer confidence after a sluggish recovery.

The surge stems from steady equity gains and steady real‑estate values, reflecting a cautious yet optimistic investment stance. Investors note that higher household wealth can spur domestic spending and support the Bank of Japan’s accommodative policy.

Market watchers observe that such wealth growth may lift the Nikkei index as firms benefit from increased consumer demand. Analysts also flag potential inflationary pressure if spending accelerates.

The data underscores Japan’s gradual rebound, suggesting that household confidence is a key driver for economic momentum moving into the fourth quarter.