mr. kuroda is quite straightforward. ofmight increase the label further level.to confident. cine: he is confident. the markets are not confident. are the markets misunderstanding why governor kuroda went to negative rates? eisuke: it will probably take change thet of market perception. right now, because of the yen, theon of the nikkei dow has been declining. it can -- it continues to decline so that perception of , it is note economy good at this moment. francine: you say that yen could break 100 by the end of the year . you say that yen is not a problem for the japanese until it hits 105. if and when it hits 105, because it is so psychological, do you think it will go quickly to 100? eisuke: it could. it would break5, 100. if brics 100 and hits to 90 or 80, that would make some sort of problem. francine: thank you so much for joining us. mr. eisuke sakakibara. the gemma known as mr. yen. great things -- the gentleman known as mr. yen. we look ahead to the good and the bad. ♪ francine: it is the pulse. let's get straight to bloomberg's business flash with caroline hyde. caro

mr. kuroda, we are going to do something. everyone takes heart, the yen weakens.a complex fashion and the market -- they nap. which itself is absolutely astonishing. -10 basisgone from points rate cut, and one of the biggest q.e. programs ever and your currency strengthens. francine: given how markets reacted, do you, can you even defend? simon: one of the thing we started to get into is the policy. the g-20 meeting. you head overt criticism coming out from mark carney in the days before that meeting. you had a g-20 statement which was directly aimed at japan, as that became clear in the comments. monetaryjapan of using policy to mutilate its currency, pot callinglike the the kettle black. odare was pressure on mr. kur not to do anything. here we are in the situation whereby the pigeon is coming home to roost. a lot of metaphors going on here. but here is the key problem. he need to do something about the yen. he's got no support for doing anything more on monetary policy. francine: so, where do you see dollars-yen? can abe do something? that sales tax increase se

mr. kuroda. he said he will keep marketing 4 x markets.ated the potential for further stimulus which leads to this chart, the b.o.j. stimulus. it rippled through markets beyond the japanese bond market. this highlights just that. that was the first back in 2013. that was the second at the end of 2014. and that's the third bazooka, not only did it push yields in japanese bonds into negative territory but it pushed yields on the treasury market down as well. barclays monk those. -- among those. it will prevent the e.c.b. from tightening rights. we have the r.b.i.. we have the r.b.a. today. australia keeping rates on hold today at a record 2%. india cut rates to 6.5% today. the lowest in six months. this is a chart showing the benchmark going back to 2010. it is looking for more room to ease, guy, as it watches monsoon rain. india lowering interest rates today. guy: mark, thank you very much indeed. perfectly positioned. our guest is still with us. going to cut again? by how much? >> he would like to. he is a man who is committed to his infla

mr. kuroda says they will not hesitate to introduce additional easing measures to bring about 2% inflationhich has been proven very elusive. but let's not forget, bank of japan is running out of the road here. hsbc very interesting. the next step could be a very bold one. and that is could really escalate the level and scale up the level of outright equity purchases. they are calling for the current level, 3 trillion yen, on an annual basis to go up to 13. 1-3 -- 13 trillion yen. that would be unprecedented. broadly, it say very fragmented market. the inflation was quite in demand in china, so that's given the market some sense to believe that the authorities have a little more room to maneuver, if they do need to bring about more policy support to consolidate growth. that's where we stand. back to you. >> sri, good to see you. >> good to see you, too. >>> blackrock ceo larry fink has joined the big names warning on interest rates. not enough potential has been paid on the knock-on threats of the pose. he outlined how consumers might be forced to save more for retirement rather than boost

mr. kuroda. anecdotally, he's having to go to the diet, the japanese parliament, on almost a daily basis to explain that policy. it's been very controversial. it's essentially a tax on savings. so that's the situation there. it's pretty much on ice right now. it begs the question, yes, there are additional easing measures, and the bank of japan is ready to undertake them in need be, but they're running out of road here. they've almost exhausted jgb purchases. the other factor is it's going to come down to equity purchases. right now they stand at around 3 trillion yen a year. are they going to be upsized in an effort to get to 2% inflation? in the here and now, japanese yen. that's been backing off for the past three days from 17-month highs. so good news for the japanese exporters. good news for the market as well. monster rally into the close on the nikkei, up by 530 points. in my mind, this is not looking sustainable when there are so many problems still. arguably, the wheels are coming off ab

mr. kuroda has not had much success talking down the yen. point does the market lose confidence? do they have any control over the strength of the yen? >> one of the problems of the boj is one of the last policies it made back in january when you started introducing negative policy -- so i think what the boj probably will do going forward is open up policy debate to include a faction of the balance sheet is an option. that will be much more effective and putting some downward pressure on the yen. yenmarket is along with the materially for the first time since the change of government. think there are policy options for the bank of japan. it needs to swing that debate back toward monetary expansion. aware of the fact that maybe we could get intervention from the boj? yet. i don't think the problem with the boj in justifying intervention would be the yen is still undervalued at current levels. there may concern will be the pace at which it is moving rather than the outright level. if we wait for days just wait four days, the risk rises materia

mr. kuroda faces.has been engaged in a price keeping operation for the japanese government bond market long before the announcement of want to date of easing. atcannot continue with qe the rate he has said he will because there is not enough left to buy. that underscores the challenge that japan faces in the economy. your chart demonstrates the current challenge of the banking system. that all underscores the probability that we will now get 10 years of no growth and no inflation out of japan. guy: what about the equity market in the 10 years? james: the financials look at well placed. the post office business is well-placed. thank you very much. james will stay with us. we are talking steel at the top of the program. and we will be talking with andrew kostin. ♪ guy: good morning. you are watching "on the move." i am guy johnson, alongside hans nichols. -what areever log we watching? hans: creditors resume talks while tensions tighten between the imf and the german government. are we heading for anothe

mr. kuroda at the moment. we see dollar yen being the focus of attention this morning. where he sees negative rates going from here. he doesn't see it's taking 6-12 months, indication being they aren't having an effect at the moment. what youick of line on think is actually happening here. is this kuroda pausing, and wanted to get a better understanding of what is going on? or is he saying maybe i made a mistake here? focus on ae is a big price keeping operation. he is dancing on the sidelines. guy: where does that take us? or 20 years of partial growth still to come to japan. where the wholesale sector essentially pays the bills. guy: ok, we'll come back and talk about the. up next, we look at the best and worst performing stocks after a busy morning of earnings out of europe. we will talk banks and how you make a plan. ftse 100 is down. ♪ back, it is 11 minutes into the trading session and the spanish section is down pretty hard. here is david inglis with bloomberg world news. david: let's get started in japan for the japanese yen is surging right now after japan main

mr. kuroda. anna: they said it would be ineffective. that is what manus meant to say.yen bottom of your versus but dollar-yen the 10-year yield. i mean, this is a rather challenged market from a variety of levels. i was going to use another phrase there, but i will not, because i would get in trouble with it. selling,market, nobody contamination all the way around. this is policy running out of effectiveness or impact. 8th of april, more to come? chris: i think there has to be. as you were talking about earlier, the yen is back to where it was at beginning of october 14. they need it down to get growth. if you look at growth, it is softening at the margin. so they need the yen down. anna: is cheaper money the way to do that? we talked about the diminishing effects. they should is what do and what central banks will do. and there is sicis cyclicalness. many to somehow get it there. but you are right. more negative you go, the worse it is for bank profit ability. manus: if there is anything to walk away with, i think we got the message. always great to have you with us.

mr. kuroda. francine: i think this is probably the story of the day. i wonder whether governor kuroda didn't do anything because he didn't want to be stuck following what the markets wanted him. that's a debate we will put our guest. , euron see the stoxxx 600 down. against what we saw in germany over the last couple weeks, and deutsche bank, i needed to put that in there at doingigher, because we're a little bit better than expected due to cut costs and expended more. vonnie: exactly. it's time to turn to the bloomberg. i want to show you exactly what the impact of th eboj's action -- the boj's actions and inaction have been. the dollar-yen is in love. this is january 29, the dollar-yen drops quite substantially, exactly the opposite of what he wanted. he did nothing in the same thing happened. the poor central banker can't win. topix a drop in the index. action from the central bank, another drop. what is amended to? -- what is a man to do? francine: i think you want to be dictated to. a lot of people are seeing him as experimental. this is my bloomb

mr. kuroda has done. atwas defending his policy columbia business school last night.e a listen. >> japan's economy still has some way to go, until the price ability target of 2% is achieved. there's no doubt that there has been a clear change in the inflation trend under the banks 's qb. e. e. francine: he believes the markets would have been much worse if they had not gone to negative territory. >> i guess he's always right; it could have been much worse. i really wonder whether central banks know what they are doing with negative rates, because they're potentially negative consequences for the real economy that could negatively affect the banking system. a negativeso have effect on people's confidence. individuals are basically holding money, and they are seeing the central value destroy the value of the money. they're setting and negative rate. i think it generally undermines confidence in policy of the central bank, and in the public end of the business community. james, i look at bank of america in europe. what's it do to the real economy? it's a quad-lemma now.

mr. kuroda had promised their people that the economy would pick up and whatever.ir program has gone nowhere. and now with the yen rallying in their face, it is feared that they will do something perhaps a bit more drastic. take negative interest rates to a very deeply negative level and that would hurt the banking system. and that's why you can see the financials today being hurt and that's all about the rally of the yen. >> do you think we'll see a turn if the yen turns? japan cannot have a strong yen, period. they have been intervening in the markets over and over again for the last 20 or 30 years. when they do that, would you expect any turn positive for the u.s. financials? >> well, it will be interesting to see if they do that. there is some feeling that at recent accords, the imf, the g-7 and g-20 all agreed not to use competitive devaluations. so might not be there. the market for the last week and a half -- the s&p found support at 2040, to 2045. the viewers should pay attention to that. >> the european banks looking messy again. u.s. banks not looking gre

mr. kuroda needs to sleep.leep, and then can do something academically like at columbia university. david: we are going to hear about it after first word news. the new york primary is less than a week away. hillary clinton and bernie sanders return to the debate stage tonight to face off. it is a crucial opportunity for both caps. sanders is to make up the race for delegates. the former secretary of state is ahead by 10 points. brett ministration has new regulation on offshore drilling. emergency equipment meant to limit environmental damage. people familiar with the matter this comes six years after the deepwater horizon blowout in the gulf of mexico. the golden state warriors begin the first team in lake history to win at seven straight games. the warriors eclipsed the 72 victory of the chicago bulls two decades ago. and turning back time against the utah jazz, bryant scored 60 points for the los angeles lakers. this was the finale of bryant's 20 year career. david: and now to pick up where you left off. tom: