BoJ crashes the party with the announcement of upcoming ETF sales
US markets hit fresh all-time highs yesterday after the Federal Reserve (Fed) cut rates, with the S&P 500, Nasdaq and Dow Jones rallying, and small caps jumping 2.5%. Europe also rebounded, despite the European Central Bank (ECB) and the Bank of England (BoE) holding rates steady. But while the champagne flowed in the US, Japanese equities woke up with a hangover: the Bank of Japan (BoJ) kept rates unchanged but announced it will start selling ¥330bn in ETFs per year, dampening sentiment and sending the Nikkei down more than 2%. The ripple effects could hit global risk appetite, push long-term...