The early morning hoopla Tuesday was that Japan had pledgedto support the Eurozone in its continuing fight against the ill winds of threatened illiquidity by buying bonds. Probably bonds issued by the Financial Stability thing that has been set up by the European central bank.
But, I didn't read the word 'pledge'. I read the words 'will consider' buying. Maybe that's the same as a pledge in international finance speak, but I don't think so. I'm probably just splitting hairs.
The Japanese probably will buy some Euro stuff. They sure buy their own stuff. Japan' debt to GDP is about 200% but much of it is financed internally by the very high savings rate in that country. Euro debt is running out of natural buyers so the Japanese had better come into the market.
Portugal, Spain, Greece, and Italy all will offer bonds this week, $43 billion worth. Actually, Greece sold 6 month bills at a 4.9% annual yield Tuesday. Italy sold12 month bills to yield 2.07%. Portugal will try its luck Wednesday.