Bloomberg (gated) have the comments from Morgan Stanley and Goldman Sachs.
Morgan Stanley say:
- Opportunities in Japanese equities are “now even clearer”
- the BOJ adjustment on Friday to allow the yield on 10-year bonds to trade as high as 1% has “successfully added policy flexibility without signaling a tightening cycle”
- noted that sustained monetary tightening by the BOJ over next 12 months is unlikely and that further gains in banks may be limited
Goldman’s:
- the “BOJ overhang” appears to have been removed
- investors are likely to broaden their interests across sectors while selectively increasing weightings of large-cap stocks
- “The combination of a stabilizing yen and improving corporate governance reform momentum could encourage more foreign investor inflows”
