Asian shares rise as BOJ eases further

Asian shares rose on Monday as the Bank of Japan revealed additional stimulus measures to support the economy from the impact of the pandemic.

MSCI’s broadest index of Asia-Pacific shares outside Japan gained 1.2%, recovering some of the 2.6% fall last week. Japan’s Nikkei added 2.1% and Chinese blue chips 1%.

S&P 500 e-mini futures was up 0.4%, EUROSTOXX 50 futures rose 1.8%, and FTSE futures gained 1.2%.

The BOJ has pledged to purchase unlimited government bonds and additional commercial and corporate debt. The central bank also eased regulations on what debts would qualify.

Analysts forecast a 15% fall in the S&P 500 earnings for the first quarter and a 60% decline in the energy sector’s profits.

Meanwhile, bond markets remain supported by easing imposed by central banks. This caused the U.S. 10-year yields to trade around 0.6% for more than a week.

The safe-haven dollar remained in positive territory as investors turned to the world’s most liquid currency amid the crisis.

The dollar index reached a three-week high at 100.860 on Friday, then fell to 100.150 on Monday.

The euro steadied at $1.0823. The dollar traded at 107.34 against the yen.