by Martin Armstrong
Armstrong Economics
Talk that the BOJ was preparing even more stimulus to be announced at next weeks central bank meeting certainly helped the Nikkei and also sentiment for most core Asian exchanges. After yesterdays 13% fall in Nintendo shares today was reasonably quiet closing just 0.8% higher on the day. The Shanghai and Hang Seng indices were both aided by the confidence and closed around 0.4% each. In late US session both China300 and the Nikkei are down around 1% with HSI off just 0.5%.
Everyone was waiting for Mario Draghi and the ECB announcement which resulted in a reasonably dull morning session. Upon the prepared remarks the market were well behaved until the Q+A session began. Bunds started to sell-off during the comments together with the DAX but questions around “possible rule changes” circulated and Bunds became flavour of the month again.