<strong>BOJ Keeps Easing Stance Amid Slowing Global Growth, Expects Cost-Push Inflation to Lose Steam in FY23</strong>
–Board Sees 3% Core CPI Rise in FY22 to Slow to 1.6% in FY23, 1.8% in FY24 –Board Revises Down GDP Forecasts to 1.9% in FY22, 1.7% in FY23, 1.1% in FY24 By Max Sato (MaceNews) – The Bank of Japan said Wednesday its policy board decided unanimously to maintain its basic monetary easing stance, […]
Analysis: US Political System Struggles to Deal With Era of Limits
By Denny Gulino WASHINGTON (MaceNews) – As the Speaker of the U.S. House of Representatives enters 2023 as a greatly diminished figure, derided by late show comedians as “House Squeaker,” his humiliating path to leadership may be a bell which tolls for his peers in the U.S. political system as well. Although many market participants […]
<strong>Japan November Household Spending Sluggish Amid Surging Costs for Daily Necessities, Mild Weather </strong>
–Govt Official: Household Spending Trend Flat If Special Factors Excluded –Spending on Hotels, Transport Stays Above Year-Earlier Levels –Real Household Income Dips but at Slower Pace; Real Wages Down Amid Retail Price Markups By Max Sato (MaceNews) – Japan’s real household spending was sluggish both on the month and year in November as many families […]
<strong>ISM: US December Service Sector Posts 1st Contraction Since May 2020 on Slower New Orders, Jobs</strong>
–ISM’s Nieves: Slowdown is Adjustment, Long-Drawn Contraction Unlikely–Nieves: Employment Drop Due to Both Slower Demand, Tight Labor Market By Max Sato (MaceNews) – The U.S. service sector contracted after 30 months of growth in December, hit by sluggish new orders and employment, after picking up slightly in November on holiday season demand and at the […]
Minneapolis Fed’s Kashkari: Pause Rate Hikes at 5.4%; Consider Cutting If Inflation Falls
By Steven K. Beckner (MaceNews) – Minneapolis Federal Reserve Bank President Neel Kashkari laid out a roadmap for monetary policy Wednesday that calls for a pause in interest rate hikes, followed by rate cuts, but not until the federal funds rate reaches 5.4%. Kashkari, who will be voting on the Fed’s policy-making Federal Open Market […]
<strong>BOJ December Meeting Summary: Must Keep Easing Stance to Help Wage Hikes, Stable 2% Inflation</strong>
–Concerned About Weakened Bond Market Functions, Board Members Argue for Expanding JGB Yield Trading Range –Members See JGB Range Adjustment as Not Tightening –Members Also Discuss Eventual Exit from Easing in Future with No Specifics By Max Sato (MaceNews) – Bank of Japan board members argued that the bank should maintain its easing stance to […]
<strong>Preview: BOJ December Tankan Manufacturers Sentiment Seen Down Further, Services Up on Tourism Promotion</strong>
–Govt’s New Travel Discount Program Supporting Consumer Spending –Businesses Seen Cautious About Climate in March Amid Global Slowdown –Smaller Firms Expected to Continue Revising Up Combined FY22 Capex Plans By Max Sato (MaceNews) – The Bank of Japan’s quarterly Tankan business survey is expected to show confidence among major manufacturers in Japan drifted lower for […]
US Consumer Inflation Expectations Down in November from October as Gas/Food/Rent Price Expectations Retreat: NY Fed
NEW YORK (MaceNews) – US consumer inflation expectations fell back in November after bumping up in October from September, amid scaled-back expectations for gas/food/rent price rises, according to a survey from the Federal Reserve Bank of New York. The median expectation for inflation one year ahead among survey respondents eased to 5.2% in November from […]
<strong>Japan Q3 GDP Contraction Shrinks on Inventory Rise, Smaller Net Export Drop</strong>
–After Annual Revisions, Economy Has Now Slipped Every Other Quarter Since Q1 2021 –Consumption Slower but Resilient Despite Covid Spike at Peak of Summer –Capex Demand for FY22 Solid Amid Digital, Green Transformations –Q4 GDP May Rebound on Fiscal Support but Global Uncertainties Remain By Max Sato (MaceNews) – Japan’s gradual economic recovery led by […]
Bank of Canada Lifts Key Rate by 50 Bps to 4.25%, Signals End of Aggressive Tightening
–BOC: Governing Council to Mull If Rates Need to Rise Further Vs. Oct. View Rates Need to Rise Further –BOC Repeats: Canadian Economy in Excess Demand, Labor Markets Tight –BOC: Inflation Too High; 3-Month Core Measures Indicate Easing Price Pressures By Max Sato (MaceNews) – The Bank of Canada on Wednesday raised its policy interest […]