I was fortunate enough to guest host this morning on Surveillance on Bloomberg TV.
The big word that everyone was using: SEISMIC.
That’s the best way to describe what’s going on in Japan, where the yen is plummeting and the Nikkei is just going bonkers.
The stock market rallied 3.7% (!) while the dollar surged to 93.7 against the yen.
The premature departure of the current Bank of Japan governor is the latest catalyst. But more generally, investors are starting to get convinced that the new prime minister Shinzo Abe will apply monetary and fiscal shock therapy to the economy.
Via Nikkei.com, here are the moves in both the Nikkei and the yn.