Overview

There was mixed news from Japan. The Bank of Japan’s quarterly Tankan index of sentiment among large manufacturers fell to -58, the lowest in the history of the survey, which dates back to 1974. The country’s domestic production of vehicles was 56% lower in February than a year earlier. Car sales in March were down by 32% on the same month in 2008. However, February did at least see Japanese companies cutting inventories at the fastest rate since records began in 1953. That raised hopes that the bottom of the country’s manufacturing slump may be in sight. America’s Federal Reserve bought $6 billion-worth of Treasuries, maturing in three to four years’ time, on April 1st. The purchases were part of plans announced on March 18th to buy over $300 billion in Treasury securities in an effort to lower borrowing rates for consumers and get credit flowing again. ... > (link)