Published at 01:44 (GMT) 18 Mar
Japan trade deficit at Y424.6bln vs -Y986.68bln expected., Feb exports +2.4%y/y, imports -3.6%y/y,
BoJ says foreign investors hold 9.33% of JGBs, BoJ holds 25% at end December. JGB holdings by foreign investors rise to record in Q4.
Japan public pension funds buy most domestic stocks in Q4 since 2009. Buys record foreign securities in Q4.
On FX, some focus on the improved trade picture for Japan, as exports rose more than forecast. Also on BoJ holdings in JGBs - now 25% as seen above. While Japan public pension funds - incl mammoth GPIF? - good buyers of Japanese stocks and foreign securities. Thus the higher USD/JPY, Cross/JPY and Nikkei. Also the higher JGBs, given BoJ QQE.
USD/JPY at 121.35-40, locked in range of 121.00-50 for now - with focus on Fed FOMC statement. Then Fed Chair Janet Yellen presser. Offers at 121.50-60, bids at 121.00-10.
EUR/JPY up at 128.55-60, given broadly firmer EUR, EUR/Crosses. As EUR/USD hit highs of 1.0651 on Tuesday. EUR/JPY offers at 129.00-10, bids at 128 lows for now.
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