The lunatics in the orient are at it again. Instead of menacing us with capital ships, they distort their economies and twist themselves into knots, leaving all sorts of room for superfluous drama.
The Bank of Japan did nothing tonight, leaving their negative rates idle, opting to take a wait and see approach to fleecing their population any further.
“The BOJ will keep a wait-and-see stance for a while,” Yasuhide Yajima, the chief economist at NLI Research Institute, said before the decision. “I expect further easing in July, when prices data will clearly show they’re off target.”
On the other hand, the PBOC fixed the Chinese yuan lower by 0.26%, the largest single day drop since the glum days of January.
As such, the tone is decidedly negative.
Asia has gone full on Rip Taylor.
Things are getting better. The real liftoff stage of this bull market is in sight
I smell smoke
Yawn, No Surprise…actually this has been saying already. Only confusing thing for us Bears are why Bulls are even bullish. Once Draghi acted, the Down Elevator was put in Place…we will be riding it down until July when the BoJ and ECB will have seen that all this is a big Fail.
turnaround tuesday = a free day for the bears. let’s see what you’ve got.
Japan also stepped away from their NIRP experiment which was a major positive. If the ECB did the same we would be in a totally different environment right now, imo. In terms of animal spirits, slaying the NIRP dragon in its youth would be a great thing.
Everything else is going to hell led by oil, though. I’m aboard the ark, though still waiting for my room reservation. Hoping to be near the wine cellar or the steam room and sauna.