The yen carry trade lives another day and our stance remains that it will stick around for some time in spite of any short-term noise. The Bank of Japan could raise interest rates as early as August. Notice the latest meeting vote was unanimous. It is extremely unlikely it will hike next month. A quarter-point hike to 0.75% is not insignificant, but it certainly does not mean the end of the Nikkei (i.e. blue chip exporters) or the carry trade.
* Nikkei 225 Stock Average: +129.20 (+0.7%) to 17,971.49
* Nikkei 225 futures Osaka: +120 (+0.7%) to 18,020
* TOPIX: +16.30 (+0.9%) to 1,772.94; Advancers 1,324 x decliners 296 (unchanged 112), new highs 71 x new lows 15
* Jasdaq: +1.37 (+1.7%) to 82.46
* US$/yen ~123.5
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CHINESE EXPORT DATA PRESSURES THE YEN
(THE PRAGMATIC CAPITALIST, 3/10/10)
European Session
(Oxbury Publishing, 3/5/10)
