European markets opened on a flat theme before rotating lower. Markets in Europe are coming off three consecutive positive sessions and showed hesitation ahead of final Q4 Euro-zone GDP numbers. With a pull back in metal and commodity prices, the basic resources related shares have taken a breather, despite commentary from BHP Billiton securing at 99.7% iron ore price increase for the April-June quarter.Iron ore is en fuego, check out BHP, CLF and ZALE.
Is Japan making a comeback? The BOJ chief commented that the recovery trend in Japan was becoming clearer with signs of a sustainable recovery taking form. He noted that the risk of double dip recession in Japan had receded and the BOJ economic view was now somewhat more positive. He added that the central bank would know by the end of the month if the economic outlook would be upgraded. He stressed that it would maintain an extremely accommodative monetary policy but added that it was important to check side effects of low rates. Monetary policy was not dictated by fiscal stance. He believed that a Yen carry trade was growing in major way at this time. He believed deterioration of the job market has come to an end.
Have a great day.