Avalanche of yen on the stock market.
The Bank of Japan will inject trillions into the capital markets on Monday.
The Bank of Japan (BOJ) plans to offer trillions of yen (tens of billions of dollars) to the money market on Monday in an emergency operation aimed at quelling market nervousness after a powerful earthquake and tsunami struck the northeast of the country, the Jiji news agency reported. This operation will be the largest single-day operation since May of last year, when the Greek debt crisis shook the global financial market, according to the agency.
The Japanese government fears a meltdown in Tokyo stock market prices on Monday, the first business day after Friday's earthquake. Since the tremor occurred at 3:30 AM on Friday night/Saturday morning, the capital markets had already closed.
The Bank of Japan (BOJ) offered 2 trillion yen ($24,4 billion) in the money market daily for two business days in May. The BOJ said that following Friday's earthquake, it would do everything possible to ensure the stability of financial markets and facilitate the liquidation of funds by providing liquidity.