Markets began the week on an optimistic note as the Bank of Japan expanded its quantitative easing programme to bring its policy more closely in line with the European Central Bank and the Federal Reserve. Meanwhile more countries have begun unwinding emergency Covid-19 restrictions, offering some hope that more normal economic activity might be restored.
- Consistency across the major central banks is supporting market sentiment
- More major economies are beginning to emerge from self-imposed shutdowns as virus transmission rates become more manageable
- The Eurogroup of ministers continues to debate the scope and implementation of a bailout fund, while Italy has benefited from unexpected good news regarding its credit rating