BOJ drops to increase ETF buying, JREIT buying and maturity extension

  • BOJ to buy ETFs in new 300B yen program
  • To extend average duration of JGB purchases to 7-12 years from 7-10 years
  • To purchase ETFs composed of stocks issued by firms active in investment in CAPEX and human resources
  • BOJ to begin new program from April 2016
  • To extend growth lending programs by one year
  • No change in 80T yen annual monetary base expansion
  • Will change JREIT program
  • BOJ voted 6-3 to establish new ETF program
  • Voted 6-3 on JREIT program
  • 6-3 vote on maturity extension
  • Dissents from Ishida, Sato and Kiuchi across the board

That's true but the ETFs and maturity extension is the big story. That delayed the market reaction about 30 seconds.

This is a surprise. At first it seemed like a huge surprise but there isn't that much new easing here.

Update: Ok. There was a lot of confusion and I'm making calls in real time. Read this to see how the details break down.