The Asian stocks rose with a positive lead from Wall Street on Wednesday, with Japan’s Nikkei reaching a 5- ½ year high as it holds on to its gains as the Bank of Japan stood pat after they unleashed a massive stimulus last month.
Economists and analysts are expecting the UK’s FTSE 100 to open down 0.16 %, France’s CAC 40 to drop 0.17% and Germany’s DAX to open at 0.18%.The MSCI’s broadcast index of the Asia-Pacific shares outside Japan. MIAPJ0000PUS increased 0.1 % while the South Korean shares rose 0.6%.
Japan’s Nikkei N225 gained 1.6%, breaking above 15,500 for the first time in over five years.
The BOJ unleashed the most intense burst of stimulus last month, promising to put in $1.4 trillion into the economy towards the commitment to achieve 2% inflation in two years.
The Japanese government bond dropped after the BOJ refrained from announcing any steps to stem a JGB market in almost two months .JGB futures fell 0.2 points on the day and down from 142.07.
The Stock Market took heart after two senior Federal Reserve officials dampened market speculations regarding the U.S central bank would probably start tapering its stimulus program later this year.
The Market will be keeping an eye for more clues on what move the Fed’s would make when the chairman Ben Bernanke testifies before congress later on Wednesday.
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