Bank of Japan unveiled a vast plan to boost the economy.

Zimbabwe’s allies, Japan and one of Zimbabwe’s largest buyer of Tobacco divulges a vast plan to boost its economy

HONG KONG. — Asian markets mostly fell on Friday on concerns over the US economy, but Tokyo enjoyed a second straight rally and the yen slipped after the Bank of Japan unveiled a vast plan to boost the economy.
Japan’s Nikkei surged more than 4 percent in early trade to its highest level since August 2008, a day after the BoJ’s stimulus aimed at bringing years of deflation to an end.
However, profit-taking later in the day meant the rally petered in the afternoon, while the yen regained slightly after suffering a big sell-off in the wake of the bank announcement.
By the end of trade the Nikkei index closed 1,58 percent higher, adding 199,10 points to 12 833,63, still its best close since September 1, 2008 weeks before the global financial crisis rocked markets.
Other regional markets struggled as jitters set in over the US economy and tensions on the Korean peninsula. Seoul closed down 1,64 percent, or 32,22 points, at 1 927,23, a day after falling 1,20 percent. Sydney lost 0,45 percent, or 22,1 points, to end at 4 891,4.
Hong Kong ended off 2,73 percent, or 610,59 points, at 21 726,90, with analysts saying traders were also concerned about a number of bird flu deaths in mainland China, which rekindled memories of the Sars outbreak in 2003.
Shanghai and Taipei were closed for a public holiday.
In the first meeting under new governor Haruhiko Kuroda, the BoJ announced a doubling of the money supply and aggressively increased asset purchases, while vowing no let-up in the battle against falling prices.
The move immediately sent the yen diving and exporters soaring, lighting a fire under the Nikkei. Investors continued the trend on Friday.
“Foreign investors now have no choice but to buy Japanese stocks,” said Kenichi Hirano, market analyst at Tachibana Securities.
In Tokyo forex trade, the dollar rose at one point to 97,04 yen — its highest since August 2009 — from 96,33 yen on Thursday in New York and way up from 92,71 yen before the BoJ measures were unveiled.
The euro bought 125,20 yen from 124,60 yen in New York and from 119,66 yen ahead of the announcement.
But in European trade the dollar sat at 96,22 yen and the euro bought 124,40 yen.
The euro fetched US$1,2924, compared with US$1,2934 in New York. — AFP. Story retrieved from Herald online