According to CNBC, here are yesterday’s stock winners and losers.
The market ticked a little higher today based on the stimulus surprise from the Bank of Japan (BoJ). The BoJ did not cut interest rates as may have been expected but instead decided to buy 10-year government bonds with a target of holding the interest rate at 0.0% in an attempt to stimulate the economy by creating inflation. However, it is hard to stimulate inflation when Japan’s population is aging. A quarter of Japan’s population is now comprised of people over the age of 65 but may shortly reach 35-40%. It may well be that this round of new incentives to boost inflation will, in the end, fail as well.
As you will see from the graph, the dollar is falling against the yen.
The Fed statement on monetary policy is due at 2:00 p.m. ET. today. Wall Street opened higher as investors expected the Federal Reserve to stand pat on interest rates after a two-day meeting ending today. The Fed is scheduled to release a statement at 2:00 p.m. ET, followed by Chair Janet Yellen’s press conference. (CNBC)