LondonIsFallingDown Posted May 2, 2016 Share Posted May 2, 2016 There was plenty of work for the Bank of Japan to do this morning as the Japanese equity market had some sharp falls. The Nikkei 225 index fell more than 3% to 16,147 today. I wonder how much they bought? Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted May 2, 2016 Share Posted May 2, 2016 The 'emergency temporary position... since 2007' usually relates to QE, which involves central banks buying debt instruments (including some which are issued by corporations.) While 'extraordinary' - and rather less 'temporary' than assurances, at the time, suggested... it's different. While, on its own, QE is very significant, it is entirely different to what the Bloomberg article alleged has happened at the BOJ (to the tune of $3tn!) The thing I thought was prohibited was central banks putting non-debt backed assets on their balance sheet. I half-remember that it was something that became unacceptable about a century ago... maybe it had something to do with Germany... and wars... Erm - after that, my mind has gone blank. LOL, you and your fading memory... Shell firms comes to mind...they did it for CDOs and called them SIVs, which, of course, nobody knew about until it was all going wrong. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.