GOLD ALERT: “Contrarians Should Be Comforted By This”
KingWorldNews.com
July 31, 2018
As we kickoff the early stages of what promises to be another rowdy week of trading, gold “contrarians should be comforted by this.”
BoJ Will Shift Asset Purchases
July 31 (King World News) – Here is a portion of what Peter Boockvar wrote today as the world awaits the next round of monetary madness: The Bank of Japan took a crawl instead of a walk towards an eventual steepening in their yield curve. Instead of explicitly altering the complexion of yield curve control they said QE will be done in a more “flexible manner” and they will tolerate a 10 yr yield to move by 20 bps around zero rather than the previous range of 10 bps. They also said less reserves will be subject to the negative 10 bps deposit rate to help the banks.
The BoJ will shift some ETF purchases from Nikkei based to Topix based because they are now huge owners of many of the top Japanese companies. Lastly, they are utilizing ‘forward guidance’ which is just another way of telling us rates will stay low for a while. With Japan, shocking I know…
The Rest…HERE
