Bank of Japan stimulus less than expected

TOKYO: markets on Friday with only minor tweaks to its giant stimulus plan that reignited concerns its monetary policy arsenal is almost empty.

Tokyo’s Nikkei 225 stock index dropped and the yen surged as the underwhelming changes burst hopes for a one- two punch to boost the sluggish economy—after the government unveiled a huge spending package this week.

intense pressure to deliver as the fate of Prime Minister Shinzo Abe’s faltering bid to reignite the world’s number three economy, dubbed Abenomics, looks increasingly gloomy.

“The market had expected more today, which triggered some disappointment and led to the yen’s surge,” said Yosuke Hosokawa, head of the forex sales team at

“This shows the ceiling for monetary policy.”

103 yen from 104.20 yen, while Tokyo’s Nikkei 225 index dived 1.7 percent immediately after the two-day meeting.

to quit the European Union. The - nancial markets and sparked a yen rally that is threatening corporate concerns about growth.

on Friday morning did little to soothe those worries.

Spending by households across - tion dropped for a fourth straight sits at its lowest levels since Abe swept to power in late 2012.

Weak readings have aggravated worries about second- quarter dodged a recession in the first three months of the year.

‘Helicopter money’

boost its exposure to riskier assets by nearly doubling its annual purchases of exchange-traded funds to about six trillion yen.

It also said it would launch a “comprehensive assessment” of its own growth policies, without giving details.

ETFs are securities linked to a

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