In case you missed it: Magnitude 7.6 earthquake hits Japan
It is a horrible solution to begin the brand new yr for these affected, with native authorities within the Ishikawa prefecture reporting at the least 30 fatalities attributable to the incident. There are fairly notable damages to buildings and infrastructures within the area with the Japan Meteorological Company reporting greater than 140 tremors already for the reason that first quake since yesterday.
When you evaluate it to the final devastating earthquake and tsunami that hit Japan in 2011, the impression this time round on markets is extra muted. Again then, the yen foreign money strengthened amid repatriation flows and likewise as Japanese shares plunged (margin calls maybe?). To this point right this moment, USD/JPY is up 0.4% to 141.40 whereas Japanese shares aren’t buying and selling amid it nonetheless being the vacation interval. So, simply be cautious of that as effectively when analysing the impression in the intervening time.
