Goldman Sachs: The Bank of Japan made a 'fateful miscalculation' leaving policy unchanged last week

Goldman Sachs For the second time in three months the Bank of Japan (BOJ) stunned financial markets last week, this time for holding monetary policy settings steady when most were expecting either an increase in asset purchases or a further reduction in interest rates, or both. The fallout for the decision was instant, and epic. The Japanese yen screeched higher, recording its largest one-day percentage gain in more than five years, while the Nikkei 225 — Japan’s benchmark stock market index...