Bank of Japan Keeps Rates Unchanged

On Friday, the Bank of Japan followed the Federal Reserve in voting to keep interest rates unchanged.

Following a surprising hike in March, the BOJ left its short-term lending rate at 0.1%, as expected.

Additionally, it decided to maintain its bond-buying activities, hinting at a plan to reduce bond purchases at its next meeting at the end of July.

The bank said it was collecting data from market participants over the coming months and deciding on an appropriate reduction.

USD/JPY rose to a 2-month high of 158.25 on the news.

France’s CAC40 2.6% Lower to End the Week

France’s stock index, the CAC40, continued to trend lower on Friday, ending the week in the red.

Following the news that the nation will hold a snap election, investors have reacted with general pessimism.

The election was triggered by a victory in the European Parliament elections for Marine Le Pen’s far-right National Rally party.

Should Le Pen’s party win the upcoming vote, they will control the domestic parliament, meaning that President Emmanuel Macron will face difficulties pushing through legislation.

Chinese Carmakers Outperform U.S. Rivals

For the first time in history, carmakers in China have sold more vehicles than their counterparts in the United States.

According to the data, Chinese brands sold 13.4 million new vehicles in 2023, compared to U.S. automakers who sold about 11.9 million units.

The market continues to be led by sales in Japan, with Japanese brands selling roughly 23.59 million cars.

Overall, the growth rate saw sales rise by over 23% year-on-year, compared to only 9% growth in the United States.

Dangers of watching every tick are twofold: overtrading and increased chances of prematurely liquidating good positions.

jack schwager