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Markets Right Now: Stocks dive after Bank of Japan inaction

A money trader monitors computer screens with the day's exchange rate between yen and the U.S. dollar, behind, at a foreign exchange brokerage in Tokyo, Thursday, April 28, 2016. Japanese stocks rallied Thursday as the latest economic data spurred hopes for more central bank stimulus, leading gains in other Asian benchmarks after the Fed left interest rates unchanged. (AP Photo/Shizuo Kambayashi) A money trader monitors computer screens with the day's exchange rate between yen and the U.S. dollar, behind, at a foreign exchange brokerage in Tokyo, Thursday, April 28, 2016. Japanese stocks rallied Thursday as the latest economic data spurred hopes for more central bank stimulus, leading gains in other Asian benchmarks after the Fed left interest rates unchanged. (AP Photo/Shizuo Kambayashi)

By Associated Press April 28, 2016 1 min read

LONDON (AP) – The Latest on financial markets. All times local.

9:30 a.m.

Stock markets in Europe have tracked their Asian counterparts sharply lower after the Bank of Japan surprised investors with its failure to enact any further stimulus measures after its policy meeting.

Much of the positive momentum in markets this week has been based on expectations that the Bank of Japan would deliver some new stimulus. Its failure to do so has seen stock markets reverse gains and the yen surge.

The dollar, for example, is down 2.8 percent at 108.37 yen. That’s unhelpful for Japan’s exporters and their share prices took a dive following the decision. The Nikkei 225 stock average ended down 3.6 percent at 16,666.95.

The selling pressure continued into the European session. Among the major indexes, Germany’s DAX was down 1 percent at 10,199 while the CAC-40 in France fell 1.2 percent to 4,506.