Japan August Inflation Hits 3-Decade High on Widespread Markups; More Price Hikes Coming
–Utilities Lead Rising Energy Costs; Gasoline Price Rise Slows on Subsidies, Softer Market –Core CPI +2.8% Y/Y Nearly 31-Year High Excluding 2014, 1997 Sales Tax Hikes Impact–Total CPI +3.0% Y/Y Also Nearly 31-Year High, Excluding Booster Effects of Sales Tax Hikes –Even Narrow CPI (Ex-Fresh Food, Energy) Up 1.6% Y/Y, More than 29-Year High By […]
Japan Seeking to Keep Yen Bears at Bay with Threat of Forex Intervention
–Tokyo Would Need Washington’s Consent and Help to Have Much Impact -US Has No Compelling Reason Yet to Step into FX Market–Japan’s Dollar Selling Ammunition Limited to Its Foreign Reserves By Max Sato (MaceNews) – Japanese policymakers are using verbal warnings and inquiries on market levels to stop the yen from depreciating rapidly against the […]
Japan July Household Spending Up Y/Y on Travel, Dining Out but Down M/M Amid Covid Spike
–Real Household Income Falls For 4th Straight Month on Rising Cost of Living By Max Sato (MaceNews) – Japan’s real household spending posted the second straight year-on-year rise in July as people continued traveling and dining out more freely but fell from June in light of record numbers of new coronavirus infections triggered by the […]
Japan Q2 GDP Up on Eased Covid Rules, China Lockdown Limiting Gain
–Japan GDP Posts 3rd Straight Q/Q Growth as Slight Q2 Drop Revised to Slight Rise–People Dining Out, Traveling More Since Restrictions Lifted in Late March–Capex Makes Up for Q1 Drop on Solid Digitization, Greener Energy Demand–Q3 GDP Growth Faces Headwinds: Domestic Covid Spike, Slower Global Growth By Max Sato (MaceNews) – Japan’s gross domestic product […]
Japan PM Kishida Shuffles Cabinet as Support Sags Over Ruling Party Ties to Cult
By Max Sato (MaceNews) – Japanese Prime Minister Fumio Kishida shuffled his cabinet Wednesday, seeking to shore up sagging voter support amid revelations that ruling party lawmakers have done little to counter what some lawyers say are illegal activities by the Unification Church, which has cultivated close ties with conservative politicians for over five decades. […]
BOJ July Meeting Summary: Watch Covid Spike Impact Before Deciding to End Financing Scheme 
–Board Members Continue Calling for Supporting Wage Hikes With Easing By Max Sato (MaceNews) – Bank of Japan board members argued for monitoring the impact of the resurgence in new Covid cases for now before deciding whether to end the program to support pandemic-hit small businesses in September as scheduled, according to the summary of […]
Japan Government Upgrades View: Consumption, Jobs Leading Gradual Economic Pickup
By Max Sato (MaceNews) – Japan’s government Tuesday upgraded its economic overview for the first time in three months in July as consumption is on a clearer pickup path, led by job creation and pent-up demand, but real wages are falling amid rising inflation and the weaker yen is eroding purchasing power, according to its […]
BOJ Kuroda Repeats No Plans for Rate Hike, Rapid Yen Drop Undesirable
By Max Sato (MaceNews) – Bank of Japan Governor Haruhiko Kuroda made it clear once again that the bank’s policymakers are “not considering raising interest rates at all” given their latest outlook that domestic inflation is unlikely to be anchored around its 2% target in the next few years. He told a post-meeting news conference […]
BOJ Keeps Easing Stance; Revises Up CPI Forecast, Sees Slower FY22 GDP Growth
By Max Sato (MaceNews) – The Bank of Japan said Thursday it is maintaining its super-low interest rate targets along the yield curve and large asset purchases, as expected, to help the economy fully recover from the pandemic-caused slump and anchor inflation around its stable 2% target. To keep speculative market forces from pushing the […]
Japan June Producer Inflation Eases Slightly on Slower Lumber, Steel Gains; Fuels Pick Up Again
By Max Sato (MaceNews) – Producer inflation in Japan eased slightly in June after hitting a 41-year high in April as year-on-year gains in the costs for lumber and wood products as well as iron and steel slowed, while the prices of gasoline and other fuels picked up the pace of increase again, data released […]