Nikkei trades sharply lower today as selloff continues after BoJ decide to exclude Nikkei-linked ETF from its purchases. Though, Topix is also trading down deeply. The Japanese markets are weighed down by news that a fire-damaged automotive semiconductor plant is going to take at least a month to restart. Outlook Japan, markets are generally rather calm. Yen is trading mildly higher, followed by Dollar and Swiss. Australian and New Zealand Dollar are the softer ones so far. Technically, there is prospect of deeper pull back in Yen crosses, in particular EUR/JPY and GBP/JPY, as near term correction. USD/JPY is also a focus as rebound in Yen could be capped as long as 108.33 minor support holds. However, break of 108.33 would also trigger a corrective falling in USD/JPY, which could prompt more buying in Yen elsewhere. In Asia, currently, Nikkei is down -2.02%. Hong Kong HSI is down -0.18%. China Shanghai SSE is up 0.90%. Singapore Strait Times is up 0.32%. Japan 10-year JGB yield is down -0.0314 at 0.84. |
