I will not forget today easily not because the radiation leak but its effect in Japanese stock exchange which cause its a huge sell-off. At one time I saw Nikkei was down more than 14%, quite large!
The uncertainty radiation effects all the markets around the world, I have not seen any market which is positive today –
In the middle hours many markets have regain some portion of their initial losses but later when European market opens at negative they again go into the initial figures.
In fact Japanese market also regain it’s losses . I saw somewhere that Credit Suisse’s negative approach on
. Australian shares closes 6 months low, while Japan faces biggest drop in 13 months. Taiwan
Yen is becoming more stronger as bad news are coming. Bank of Japan has again injects $98 billion into the banking system, yen’s appreciation that is the main concern for them. Japanese Yen is below 81 in spite of the fact that Bank of Japan again injected money into the system, AUD is also below 0.99.
Sell-off is happening around all corner nothing is immune from it, not even safer assets like Gold. People are shifting only those areas where they have Govt. back-up or something like that, I mean instruments like German bund,
treasury e.t.c. US
The interesting thing I find in this sell-off is that, the Emerging markets are not correcting much, all the worse thing is happening with developed market. Index like DAX, CAC e.t.c are already too much over-bought and they really need some correction, on the other hand if I look in countries like China, India, Brazil, Indonesia, their index have suffered minor correction because they have already corrected.
I will not be wonder at all if I see some strong come-back tomorrow or later part of this week from this Emerging nations. Let’s hope for the best.
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