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Tokyo Market Summary: The Bank of Japan's interest rate hike for the first time in 17 years did not hinder the appreciation of Japanese stocks, and the Nikkei Average once again broke through 40,000 yen

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moomooニュース日本株 wrote a column · Mar 19 01:32
Tokyo Market Summary: The Bank of Japan's interest rate hike for the first time in 17 years did not hinder the appreciation of Japanese stocks, and the Nikkei A...
Hello Moomoo users! Thank you very much for your hard work.Today's stock price summary is as follows. Thank you in advance.
●The Nikkei Stock Average ended at 40003.60 yen, 263.16 yen higher than the previous business day
● The Bank of Japan revises large-scale mitigation measures, and government bond purchases continue to raise interest rates for the first time in 17 years
● Major banks consider raising interest rates on savings accounts to “get out of 0.001%”
● GPIF announced that it will solicit information for diversification of operations, targeting Bitcoin, gold, etc.
● Attention to the handle: $Mitsubishi Motors(7211.JP)$ $Mitsubishi UFJ Financial Group(8306.JP)$
-MooMoo News Japan Stock Zeber

Market Overview
Today's Nikkei Stock Average ended at 40003.60 yen, 263.16 yen higher than the previous business day, and the Tokyo Stock Price Index (TOPIX) ended at 2750.97, 28.98 points higher than the previous business day.
Top news
Bank of Japan revises large-scale mitigation measures, and government bond purchases continue to raise interest rates for the first time in 17 years
The Bank of Japan decided revisions to large-scale monetary easing measures with a majority of approval at the monetary policy meeting on 18-19. It was determined that they had reached a situation where sustainable and stable implementation of the 2% price target could be anticipated, and the policy was changed to encourage negative interest rates to shift to zero 0.1% the day after the unsecured call. While the yield curve control (YCC, long and short interest rate operation) framework was abolished, it was decided that government bond purchases would continue so that discontinuity did not occur in the market.

Major banks consider raising interest rates on savings accounts to “get out of 0.001%”
With the cancellation of the Bank of Japan's negative interest rate policy, private financial institutions began considering raising interest rates on savings accounts. Major banks and regional banks lowered deposit interest rates from 0.02% until then to 0.001% in 2016/2, when negative interest rate policies began. As policy interest rates rise into the positive zone, deposit interest rates will also return to a “world with interest rates.”

Bank of Japan quarterly government bond purchases devalues the upper range limit for medium- to long-term and ultra-long-term bonds
On the 19th, the Bank of Japan announced a quarterly government bond purchase schedule, which is usually announced at the end of the month.

The Bank of Japan's interest rate hike for the first time in 17 years did not hinder the appreciation of Japanese stocks, and the market is calm and strategist
The Bank of Japan ended its negative interest rate policy at the monetary policy meeting on the 19th, and raised interest rates for the first time in 17 years. However, in addition to statements by Bank of Japan executives and policy committee members, the possibility of policy changes was suggested in advance through the press, so strategists and management personnel believe that the market is hardly upset.

GPIF announced that it would solicit information for diversification of operations, targeting Bitcoin, gold, etc.
The Pension Reserve Fund Management and Operation Independent Administrative Agency (GPIF) announced on the 19th that it would request the provision of information aimed at diversifying operations. It is information on assets with low liquidity that GPIF is not an investment target, and targets were gold, forests, farmland, etc. in addition to Bitcoin, which is a representative crypto asset.

Two considerations for variable interest rates on mortgages, avoidance of expansion of increases by the Bank of Japan
The Bank of Japan finally decided to cancel the negative interest rate policy on the 19th. What general consumers are most concerned about is thought to be the impact on variable mortgage interest rates, but from the Bank of Japan's decision, considerations can be seen to prevent the increase in base interest rates, which is important for those who have already borrowed, from spreading.

The Bank of Japan's “negative interest rate” also fell to the 150 yen level at one point as the yen depreciated
The depreciation of the yen and appreciation of the dollar progressed in the Tokyo Foreign Exchange Market on the 19th, and it temporarily hit the 1 dollar = 150 yen range for the first time in 2 weeks. The Bank of Japan decided to cancel the negative interest rate policy at the monetary policy meeting held until the same day. The interest rate hike for the first time in 17 years seems to be a factor in the appreciation of the yen, but what has increased is rather yen sales. As the US Federal Reserve (Fed) interest rate cut observations receded, the Bank of Japan did not indicate an additional interest rate hike policy, so there is a growing sense of security about yen sales and dollar purchases.

Notable stocks
Mitsubishi Motors - The dollar and yen soared to the 149.90 yen level in response to the results of the Bank of Japan meeting
$Mitsubishi Motors(7211.JP)$ has skyrocketed. It seems that the fact that the dollar yen depreciated to 149 yen 90 yen at one point in the exchange market is viewed as material.

Mitsubishi UFJ - negative backstage conversion Bank of Japan negative interest rate cancellation also ran out of materials and sold to bank stocks
$Mitsubishi UFJ Financial Group(8306.JP)$ There was a negative change in the backfield. A clue is that the Bank of Japan announced the results of the monetary policy meeting after 12:30.
Distributor: Bloomberg, Nihon Keizai Shimbun, Jiji Press, QUICK Money World, Traders WebReuters
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