BoJ keeps pumping money in the market
Asian stock markets are not receiving any accurate impulses for long-term movement in the market that is why indexes in general are moving in a different directions. Today we also can see multi-directional dynamics in the market. Worse than the others look index of continental China SSE, the Australian ASX, and also Japanese Nikkei.
Today finished meeting of the Central Bank of Japan within which the regulator decided to leave the current monetary policy without change, having raised, thus, an assessment of state of the economy for the first time in 2 months. Thus already can be heard offers from some board members to make a target rate of inflation more flexible, and not to go so strictly with rate on 2%%. The Japanese yen practically didn't react to these statements, having continued to bargain under level 100 against the American dollar, but the stock market started decreasing gradually. Meanwhile the hi-tech exporting companies which are most sensitive to a rate of national currency, today mainly grow, so Sony, Pioneer and Toshiba add about 1,2%%.
In meantime in the USA, stock market has finished yesterday’s trading session with increase in price of main indexes. Reasons for that were improvement of macroeconomic realities in the Eurozone and the USA, and also increase in demand for shares of auto makers and the hi-tech companies. The revised data on gross domestic product of the Eurozone confirmed 0,3%% growth of economy of the region in the 2nd quarter, having strengthened impression of the favorable data published the other day on the industry in Europe. In the USA, in turn, according to the report of the Beige book, the industry grew, and consumers began to spend more for entertainments, in particular, on tourism.
Vote of Committee of foreign affairs at the Senate in favor of limited military blow to Syria didn't scare investors. Let's note that the final decision will be made, most likely, in some days. Price for oil stabilized a bit and decreased in comparison to few days before, Brent is traded on a level of 113.37$ per barrel and Light is traded on a level of 106.63$ per barrel.
Today investors will be waiting for the conference of Mr. Dragi and the unemployment figures from the USA.
Risk Warning / Disclaimer
The opinions of the author to market behavior do not constitute a solicitation to buy or sell any financial products, but are merely a personal opinion. When you go into the trade in leveraged financial products, you must be aware that a loss up to the amount of your deposit and in addition, can also be an obligation to arise. Make yourself familiar with the active trade or get independent advice before you invest your own money and use only invest money that you can get over the worst case.