Japan cuts rates to virtually zero; Nikkei spikes

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The Bank of Japan has cut interest rates to virtually zero in an effort to revive the ailing economy.

In a unanimous vote, the Bank of Japan's nine-member policy board surprisingly voted to set its overnight call rate target to a range of zero to 0.1%. Interest rates in Japan have been unchanged December 2008. The moved is aimed at injecting life into the faltering Japanese economy, with country the struggling with deteriorating exports, production and corporate sentiment. The strengthening yen has also negatively impacted the economy. "Although Japan's economy still shows signs of a moderate recovery, the pace of recovery is slowing down partly due to the slowdown in overseas economi...

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