Bank of England Keeps Interest Rates Steady
Japan's Stock Market Falls Sharply, Likely to Impact India
On September 19, Japan's stock market came under sudden pressure after the Bank of Japan (BoJ) announced its decision to reduce its holdings in ETFs (Exchange-Traded Funds) and J-REITs (Real Estate Investment Trusts).
Following this announcement, the Japanese equity market saw a sharp decline from higher levels, triggering panic among investors. So far, the BoJ had been supporting the equity market under its monetary easing policy by investing heavily in ETFs and J-REITs.
However, this new move signals a potential shift in policy as the BoJ prepares to start selling these assets. This could lead to further volatility not only in Japan but also in other global markets, including India, which is often sensitive to such international developments.
Key Highlights:
- Bank of England has decided to keep interest rates steady.
- Bank of Japan signals shift in monetary policy by reducing market holdings.
- Sharp fall observed in Japanese equity markets.
- Potential impact on Indian markets and other emerging economies.