Asian shares cautious, BOJ faces crunch policy decision

Asian shares cautious, BOJ faces crunch policy decision

Asian shares started cautiously on Monday as investors waited nervously to see if the Bank of Japan (BOJ) will defend its super-sized stimulus policy at a pivotal meeting this

Asian shares started cautiously on Monday as investors waited nervously to see if the Bank of Japan (BOJ) will defend its super-sized stimulus policy at a pivotal meeting this

week, while a holiday in U.S. markets made for thin trading. There were even rumours the BOJ might hold an emergency meeting on Monday as it struggles to defend its new yield

week, while a holiday in U.S. markets made for thin trading. There were even rumours the BOJ might hold an emergency meeting on Monday as it struggles to defend its new yield

ceiling in the face of massive selling. That had markets in an anxious mood and Japan’s Nikkei slipped 0.9% in early trading. MSCI’s broadest index of Asia-Pacific

ceiling in the face of massive selling. That had markets in an anxious mood and Japan’s Nikkei slipped 0.9% in early trading. MSCI’s broadest index of Asia-Pacific

shares outside Japan edged up 0.2%, with hopes for a speedy Chinese reopening giving it a gain of 4.2% last week. S&P 500 futures and Nasdaq futures both eased 0.1%, following

shares outside Japan edged up 0.2%, with hopes for a speedy Chinese reopening giving it a gain of 4.2% last week. S&P 500 futures and Nasdaq futures both eased 0.1%, following

a Wall Street bounce last week. Earnings season gathers steam this week with Goldman Sachs, Morgan Stanley and the first big tech name, Netflix, among those reporting.

a Wall Street bounce last week. Earnings season gathers steam this week with Goldman Sachs, Morgan Stanley and the first big tech name, Netflix, among those reporting.

World leaders, policy makers and top corporate chiefs will be attending the World Economic Forum in Davos and there are a host of central bankers speaking, including no less

World leaders, policy makers and top corporate chiefs will be attending the World Economic Forum in Davos and there are a host of central bankers speaking, including no less

than nine members of the U.S. Federal Reserve.The BOJ’s official two-day meeting ends Wednesday and speculation is rife it will have to make changes to its yield curve control

than nine members of the U.S. Federal Reserve.The BOJ’s official two-day meeting ends Wednesday and speculation is rife it will have to make changes to its yield curve control

(YCC) policy given the market had pushed 10-year yields above its new ceiling of 0.5%. The BOJ bought almost 5 trillion yen ($39.12 billion) of bonds on Friday in its

(YCC) policy given the market had pushed 10-year yields above its new ceiling of 0.5%. The BOJ bought almost 5 trillion yen ($39.12 billion) of bonds on Friday in its

largest daily operation on record, yet yields still ended the session up at 0.51%. However, it did try to get ahead of speculative sellers by announcing it would do another

largest daily operation on record, yet yields still ended the session up at 0.51%. However, it did try to get ahead of speculative sellers by announcing it would do another

emergency round today, suggesting it was determined to defend its yield policy at least for now.

emergency round today, suggesting it was determined to defend its yield policy at least for now.