USDJPY just spiked back over 106.00 after headlines suggesting Japanese PM Shinzo Abe will unveil new stimulus as soon as today. News reports on 27t yen fiscal stimulus and issuance of 50-year bond, both spur yen selling, says David Lu, HK-based director at NBC Financial Markets Asia. We suspect there will be some disappointment after the algos are finished as FNN reports the package will include 13t yen of low-interest loans (so a smaller helicopter than expected) and besides, it’s not like the Japanese are suffering from rate being too high.
The question is – will this be it? Or is this to strawman the size once again to see if the market (for that is all that matters) will be satiated by Abe’s promises.
via http://ift.tt/2a3B0Bi Tyler Durden