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BANGKOK (AP) — Asian shares were mostly higher Thursday ahead of an update on U.S. consumer inflation and a meeting of oil producers in Vienna. Consumer spending, the lifeblood of the economy, rose at a 3.6% annual rate from July through September. In Bangkok, the SET fell 0.5%. Facebook parent company Meta fell 2%, Google’s parent company Alphabet gave up 1.6% and Microsoft dropped 1%. Las Vegas Sands slid 4.9% after Miriam Adelson, the casino operator’s controlling shareholder, sold some $2 billion in stock.
Persons: That’s, Yue, India's Sensex, Taiwan's Taiex, Brent, gainers, Miriam Adelson Organizations: Federal, Consumer, U.S ., Bank, Nikkei, Capital Economics, OPEC, Sunday, New York Mercantile Exchange, Big Tech, Dow Jones, Nasdaq, Facebook, Meta, Microsoft, New York Stock Exchange, General Motors, GM, United Auto Workers, Canadian, Treasury, Sands Locations: BANGKOK, Vienna . U.S, U.S, Asia, Hong Kong, Shanghai, Australia, Bangkok, Sunday .
Eurizon strategists forecast US inflation to steadily fall to the Fed's target of 2%. Since the 1990s, Japan's aging population has caused inflation and interest rates to fall. By Eurizon's calculations, Japan's labor force peaked in 2019, at 1.7 times its size from 1950, which suggests an average annual labor force growth rate of 0.77 percent a year through the expansion. Similarly, China's labor force peak from 2018 will likely be pushed back by new policies. Eurizon SLJ Capital LimitedAs more countries follow Japan's demographic path, inflation should follow a similar trajectory.
Persons: , Stephen Jen, Joana Freire, Jen, Freire Organizations: Service, Japan, JPMorgan, Bank of, SLJ, Bank of America Locations: Japan, South Korea, Italy, China, EU, India
BANGKOK (AP) — Shares declined Friday in Asia, with Hong Kong's benchmark retreating on selling of property shares following recent gains. Japan reported its consumer inflation rose for the first time in four months, with big gains in food prices and hotel rates as tourism has soared. Political Cartoons View All 1265 ImagesChinese shares fell back after recent gains driven by expectations of more government support for debt-burdened property developers. On Thursday, European shares edged higher in thin trading. Britain’s FTSE 100 edged 0.2% higher to 7,483.58.
Persons: ” Robert Carnell, Min Joo Kang, Korea's, Germany’s DAX Organizations: , Bank of, ING Economics, Nikkei, CAC, Dow, Nasdaq, Black, Walmart, Saks Fifth, Federal, New York Mercantile Exchange, Brent, U.S Locations: BANGKOK, Asia, Japan, Hong Kong, Shanghai, Australia, Bangkok, Paris
Tom Turkey float rides during the 97th Macy's Thanksgiving Day Parade in Manhattan, New York City, U.S., November 23, 2023. With Wall Street shut for Thanksgiving on Thursday, Asian investors will miss the usual swing factor. Instead, Friday's release of Japan's core inflation data for October will set the tone for trading in the region. Japan's core consumer inflation likely accelerated again in October, staying above the central bank's 2% price target for a 19th straight month, according to a Reuters poll. But some of the inflation-easing trade is already priced into the market, reflected in the near 11% rally in the MSCI world index (.WORLD) in the past 18 trading days.
Persons: Tom Turkey, Brendan McDermid, Denny Thomas, Josie Kao Organizations: REUTERS, Rights TORONTO, Bank of, Beijing, European Central Bank, Stocks, Malaysia CPI, Thomson, Reuters Locations: Manhattan , New York City, U.S, Japan, China, Europe, Singapore, New Zealand, Thailand, Taiwan
Morning Bid: Thanksgiving starters of AI and oil
  + stars: | 2023-11-20 | by ( ) www.reuters.com   time to read: +5 min
Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., September 26, 2023. REUTERS/Brendan McDermid/File Photo Acquire Licensing RightsA look at the day ahead in U.S. and global markets from Mike Dolan. Thanksgiving may make for a clipped U.S. markets week, but there's plenty to chew on around the world before then - and a feast of intrigue in the artificial intelligence space. His plans include shutting the central bank, ditching the peso and dollarizing the economy and slashing spending with potentially painful reforms. The risk premium between German and Italian 10-year yields tightened to 170 bps - the lowest since Sept. 21.
Persons: Brendan McDermid, Mike Dolan, Sam Altman, That's, thrall, Javier Milei, Milei, Jeremy Hunt, Andrew Bailey ,, Francois Villeroy de, Pablo Hernandez de Cos, Ed Osmond Organizations: New York Stock Exchange, REUTERS, Microsoft, Big Tech, Nvidia, Treasury, Federal Reserve, Bank, Bayer, Federal Reserve Bank of England, Andrew Bailey , Bank of France, Bank of Spain, Technologies, Keysight Technologies, Holdings Reuters Graphics Reuters, Reuters, Thomson Locations: New York City, U.S, OPEC, Tokyo, Europe, Canada, Francois Villeroy de Galhau
Morning Bid: Japanese stocks party like it's 1990
  + stars: | 2023-11-20 | by ( ) www.reuters.com   time to read: +4 min
A man walks past an electronic board displaying Japan's 10-year government bonds level, the current Japanese Yen exchange rate against the U.S. dollar and Nikkei share average, outside a brokerage in Tokyo, Japan, October 31, 2023. It's been a mixed start for most of Asia in this holiday-truncated week, though Japanese shares extended their bull streak to hit highs not seen since 1990. The Nikkei is up more than 8% so far this month, and almost 29% for the year so far. The entire market capitalisation of the Topix is 454 trillion yen ($3.03 trillion), yet Japanese companies held 555 trillion yen in internal reserves at the end of the financial year. Recent surveys show inflation expectations are finally picking up which may prompt households to invest some of the 1,000 trillion yen they currently keep in cash and deposits into equities and bonds.
Persons: Kim Kyung, It's, financials, de, de Cos, Bank of England Governor Bailey, Fed's Barkin, Wayne Cole, Christopher Cushing Organizations: U.S ., Nikkei, REUTERS, Nasdaq, Bank of Japan's, Hamas, Tech, Nvidia, Futures, PPI, Bank of France, Bank of Spain, Bank of England, Thomson Locations: Tokyo, Japan, Asia, Israel, United States, Gaza, de Galhau
Against the dollar, the yen last stood at 151.72 , languishing near a one-year low of 151.92 hit on Monday. A break below last year's trough of 151.94 per dollar would mark a fresh 33-year low for the yen. "I'm inclined to also think that it wasn't a BOJ intervention... It intervened again in October 2022 after the yen plunged to a 32-year low of 151.94. The comments have kept the U.S. dollar bid and against the greenback, the New Zealand dollar fell to an over one-week low of $0.58705.
Persons: Thomas White, Carol Kong, Rodrigo Catril, Jerome Powell, NAB's, Rae Wee, Sam Holmes Organizations: REUTERS, Rights, Bank of Japan's, greenback, Commonwealth Bank of Australia, Bank of, National Australia Bank, NAB, Ministry of Finance, Federal, U.S, New Zealand, Sterling, Reserve Bank of Australia, Thomson Locations: Japan, Rights SINGAPORE, Asia, New York, Bank of Japan, U.S
Japanese Finance Minister Shunichi Suzuki arrives for a news conference during the annual meeting of the International Monetary Fund and the World Bank in Marrakech, Morocco, October 13, 2023. REUTERS/Susana Vera/File Photo Acquire Licensing RightsTOKYO, Nov 14 (Reuters) - Japanese Finance Minister Shunichi Suzuki said on Tuesday that the government would take all possible steps necessary to respond to currency moves, repeating his usual mantra that excessive swings were undesirable. Suzuki made the remarks when asked about impacts from the weak yen on households which have been pressured by rising living costs due to higher import prices for fuel and food. "What's important is to maximise positive effects from the weak yen while mitigating negatives," Suzuki told reporters. Japan last intervened in the currency market - selling dollars and buying yen - in October last year.
Persons: Shunichi Suzuki, Susana Vera, Suzuki, Shinichi Uchida, Tetsushi Kajimoto, Kaori Kaneko, Satoshi Sugiyama, Chang, Ran Kim Organizations: International Monetary Fund, World Bank, REUTERS, Rights, Japanese Finance, Bank, Bank of, Thomson Locations: Marrakech, Morocco, Japan, U.S
People walk on a crosswalk at a business district in central Tokyo, Japan September 29, 2017. The monthly poll mirrored a similar improvement seen in the third quarter in the Bank of Japan's (BOJ) closely-watched quarterly tankan survey. The service-sector index grew to plus 27 from plus 24 in the previous month, led by retailers, information and communications, and other services. Analysts expect Japan's economy, the world's third-biggest, to have shrunk in the third quarter, the first contraction in four quarters, according to a Reuters poll. The Reuters Tankan indexes are calculated by subtracting the percentage of pessimistic respondents from optimistic ones.
Persons: Toru Hanai, Tetsushi, Shri Navaratnam Organizations: REUTERS, Reuters, Bank of Japan's, pessimists, Thomson Locations: Tokyo, Japan, TOKYO, China
She noted that a flexible YCC "may be conducive to a more controlled yield rise since there's no more line in the sand to go against." Elsewhere, Kuroda wrote in notes to CNBC that Japanese banks "remain in focus as a beneficiary" of BOJ's interest rate normalization. A more flexible interest rate on BOJ operations may allow for a controlled rise in long-term yields, Kuroda said in notes to CNBC. "This might make it easier for banks to buy or reinvest JGB portfolio at higher yields." Japanese bank stock picks Goldman Sachs continues to name conviction list stock Mitsubishi UFJ Financial Group (MUFG) and Mizuho as its top picks from the Japanese banking sector.
Persons: Goldman Sachs, BOJ, Makoto Kuroda, CNBC's, Kuroda, Yuka Azami, MUFG, Goldman, CNBC's Naman Tandon, Lim Hui Jie Organizations: CNBC, Mitsubishi UFJ Financial, Mizuho, Tokyo Stock
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailAre Japanese banks a buy after the BOJ's recent decision? Makoto Kuroda of Goldman Sachs discusses Bank of Japan's recent decision to increase flexibility on its yield curve control.
Persons: Makoto Kuroda, Goldman Sachs Organizations: Bank
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailJapan will exit negative interest rate policy in January 2024: Deutsche BankSameer Goel of Deutsche Bank says that the Bank of Japan's negative interest rates "have to go" and predicts the central bank will make a policy move in January 2024.
Persons: Deutsche Bank Sameer Goel Organizations: Japan, Deutsche Bank, Bank of
Dollar tracks Treasury yields lower as Fed stays on hold
  + stars: | 2023-11-02 | by ( ) www.cnbc.com   time to read: +3 min
The dollar fell broadly on Thursday, tracking a slide in U.S. Treasury yields as markets grew more convinced the Federal Reserve was done with its aggressive monetary policy tightening cycle after it left rates unchanged. However, Fed Chair Jerome Powell acknowledged that a recent market-driven rise in Treasury bond yields, home mortgage rates and other financing costs could have their own impact on the economy as long as they persist. The dollar edged broadly lower alongside U.S. Treasury yields which touched multi-week lows in early Asia trade. "This could take some time to develop and is one reason we are likely to see higher rates for longer." The move lower in the dollar brought some respite for the yen, though it remained on the weaker side of 150 per dollar.
Persons: Jerome Powell, Wells, Jay Bryson, Lon Erickson, Tom Kenny Organizations: Treasury, Federal, Fed, New, U.S, Traders, Thornburg Investment Management, Bank of Japan's, ANZ, Bank of Locations: U.S, Wall, Asia, New Zealand, Wells Fargo
Federal Reserve Chair Jerome Powell speaks during a meeting of the Economic Club of New York in New York City, U.S., October 19, 2023. REUTERS/Brendan McDermid/File Photo Acquire Licensing RightsNov 2 (Reuters) - A look at the day ahead in Asian markets from Jamie McGeever, financial markets columnist. The MSCI World equity index rose just over 1%, its best day since August while the Nasdaq jumped 1.6%, its fourth rise in a row, for its best day since August too. Malaysia's central bank is expected to keep its key interest rate at 3% and through 2024, despite a weakening ringgit, amid stable domestic inflation and a steady growth outlook. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
Persons: Jerome Powell, Brendan McDermid, Jamie McGeever, Wall, Jerome Powell's, Powell, Evergrande, Josie Kao Organizations: Economic, of New, REUTERS, Treasury, Bank of, Nikkei, Nasdaq, South, South Korea CPI, Thomson, Reuters Locations: of New York, New York City, U.S, Malaysian, Asia, Hong Kong, South Korea, July's, Malaysia, Australia
The yen's key drivers are so weak the currency is comparable to the Turkish lira and Argentine peso, Deutsche Bank said. The country's balance of payments are also weak as the Bank of Japan has triggered capital flight. AdvertisementAdvertisementThe Japanese yen's fundamentals are so weak the currency is comparable to some of the world's worst performing tenders, a Deutsche Bank note said on Wednesday. "A simple glance of the yen's drivers - yields and external accounts - puts the Japanese yen in the same league as the Turkish lira and Argentine peso," George Saravelos, the bank's global head of foreign exchange research, wrote in the report. Intervention by the Bank of Japan in currency markets won't help the yen, and may actually backfire.
Persons: , George Saravelos, Saravelos Organizations: Argentine, Deutsche Bank, Bank of, Service, Bank of Japan Locations: Japan, Bank of Japan
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailYCC: Japan takes center stage as it makes a 'very difficult' transition, says asset management firmPetty, co-CEO and co-CIO of Fiera Capital, discusses the Bank of Japan's decision to tweak its bond yield control policy again, and what it means for markets.
Persons: Petty Organizations: Fiera, Bank of Locations: Japan
Asian stocks stutter ahead of Fed, frail yen in focus
  + stars: | 2023-11-01 | by ( Ankur Banerjee | ) www.reuters.com   time to read: +4 min
Passersby are reflected on an electric stock quotation board outside a brokerage in Tokyo, Japan April 18, 2023. "Once again market players have been left frustrated by the lack of urgency shown by the BOJ, and either closed yen longs or flipped into outright yen shorts." The yen strengthened 0.27% to 151.26 per dollar following the comments but remained close to one-year lows of 151.74 it touched on Tuesday. FED AWAITSOvernight, Wall Street's main indexes ended higher, with investors looking ahead to the Fed policy decision later in the day, when the central bank is expected to stand pat on interest rates. Oil prices inched higher ahead of the Fed decision, with the market keeping a close eye on the latest developments in the Israel-Hamas conflict.
Persons: Issei Kato, HSI, Chris Weston, Masato Kanda, Jerome Powell, Erik Weisman, Powell, Sterling, Brent, Ankur Banerjee, Shri Navaratnam Organizations: REUTERS, Rights, Federal Reserve, Japan's Nikkei, China, Bank of, ING, Traders, MFS Investment Management, Treasury, Thomson Locations: Tokyo, Japan, Rights SINGAPORE, Asia, Pacific, Israel
But it's also likely the BOJ have their finger on the intervention button to cap any runaway rally on USD/JPY." Nevertheless, this is working in a way to increase the volatility of the global rates market. This means it will still have a certain distance until the BOJ exit from the negative rate policy." "A yield cap isn't a yield cap if you change it every time the market gets close." The Bank of Japan could lift the negative policy rate to zero over the coming year.
Persons: Kim Kyung, KYLE RODDA, MATT SIMPSON, JPY, it's, NOMURA, They've, TONY SYCAMORE, normalisation, TAKAYUKI MIYAJIMA, ROB CARNELL, they're, JEFF NG, TOM NASH, OMORI, SHOTARO KUGO, me, IZURU KATO, MARCEL THIELIANT, today's, FREDERIC NEUMANN, CHRISTOPHER WONG, BOJ's, Sherry Jacob, Phillips Organizations: National Printing Bureau, Bank of Japan, REUTERS, Bank of, Nikkei, SAXO, SONY, ING, UBS, CHIEF, DAIWA, OF, HSBC, Global, Thomson Locations: Tokyo, Japan, Bank of Japan, MELBOURNE, BRISBANE, SINGAPORE, TOKYO, U.S, SYDNEY, ASIA, PACIFIC, CHIEF JAPAN, stagflation, OF ASIA, YCC, HONG KONG
The Bank of Japan's safety margins are shrinking: BofA
  + stars: | 2023-10-31 | by ( ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThe Bank of Japan's safety margins are shrinking: BofAShusuke Yamada, the chief of Japan FX at Bank of America, says that the Bank of Japan needs more evidence to judge inflation.
Persons: Shusuke Yamada Organizations: Japan FX, Bank of America, Bank of Japan Locations: Japan
European markets are heading for a mixed open as investors look ahead to key data releases in the region, particularly preliminary euro zone inflation data for October and gross domestic product for the third quarter. Yesterday, German gross domestic product recorded a 0.1% quarterly fall, slightly better than the 0.3% decline forecast in a Reuters poll of economists. Inflation in the country was at an estimated 3.8% for October, the lowest since August 2021. Overnight in Asia-Pacific markets, Japan stocks trimmed losses after the Bank of Japan's monetary policy decision, while other regional markets fell as manufacturing activity unexpectedly contracted in China. Meanwhile, U.S. stock futures edged lower early on Tuesday after the major averages climbed in a relief rally.
Organizations: Bank Locations: EU, Asia, Pacific, Japan, China
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailGoldman Sachs expects BOJ to make a 'bigger' policy decision in April after 2024 spring wage talksTomohiro Ota of Goldman Sachs says wage growth led inflation is key for the Bank of Japan's decisions, and expects 2024 spring wage talks to be to crucial to the timing of policy tightening.
Persons: Goldman Sachs, BOJ, Tomohiro Ota Organizations: Bank of
Passersby walk past an electric monitor displaying the Japanese yen exchange rate against the U.S. dollar outside a brokerage in Tokyo, Japan October 4, 2023. On Tuesday, the 10-year JGB yield jumped 6.5 basis points to 0.955%, its highest since May. "Markets seem to assume that the ceiling will be lifted by another 50 basis points, but I think the possibility of another doubling (i.e. The dollar index , which measures U.S. currency against six rivals, rose 0.104%. The yield on 10-year Treasury notes was up 1.1 basis points to 4.888%, while the yield on the 30-year Treasury bond was up 0.7 basis points to 5.042%.
Persons: Issei Kato, Nicholas Chia, Chia, Sterling, Hong, HSI, Jerome Powell, Gary Dugan, Brent, Ankur Banerjee, Lincoln Organizations: U.S, REUTERS, Rights, Bank of, Nikkei, Standard Chartered, Japan's Nikkei, U.S . Federal Reserve, Bank of England, BOJ, Federal Open Markets, Dalma, Federal Reserve, Treasury Department, Thomson Locations: Tokyo, Japan, Rights SINGAPORE, Asia, Pacific, Shanghai, U.S, Singapore
People walk in front of the bank of Japan building in Tokyo, Japan, April 7, 2023. REUTERS/Androniki Christodoulou/ File photo Acquire Licensing RightsOct 31 (Reuters) - A look at the day ahead in Asian markets from Jamie McGeever, financial markets columnist. Will the BOJ spook markets on Halloween and the final trading day of the month by effectively tightening monetary policy further with another tweak to its 'yield curve control' policy? Inflation in Japan has finally taken off, and for the first time in decades, appears to be sticking well above 2%. Here are key developments that could provide more direction to markets on Tuesday:- Bank of Japan policy decision- China PMIs (October)- Japan unemployment, industrial production, retail sales (September)By Jamie McGeever;Our Standards: The Thomson Reuters Trust Principles.
Persons: Androniki, Jamie McGeever, Will, Government Bonds, China PMIs Organizations: REUTERS, Bank of, U.S . Federal, Bank of England, Nikkei, Japan, Government, PMI, Bank of Japan, Thomson, Reuters Locations: Japan, Tokyo, Hong Kong, Taiwan, China
Japan 10-year government bond yields crept closer to a 11-year high on Monday as the Bank of Japan kicks off its two-day monetary policy meeting. Yields for the 10-year JGB climbed 2.29% on Monday to 0.893%, its highest level since it briefly reached 0.895% on Oct. 26. Before that, the last time the yield was at this level was in April 2012. In July, the BOJ effectively broadened the yields permissible on the 10-year JGB by 50 basis points to 1% either side. Read CNBC's preview of the Bank of Japan's policy meeting here.
Persons: — Lim Hui Jie Organizations: Bank of Japan, Bank of Locations: Japan
Analysis: Yen comeback may be a longer waiting game
  + stars: | 2023-10-27 | by ( Tom Westbrook | ) www.reuters.com   time to read: +5 min
One result is an uneasy calm in spot and options markets for dollar/yen as traders give up waiting for the yen to bounce. Driven weaker by the widening gap between U.S. and Japanese interest rates, the yen has lost 13% on the dollar this year and at 150 is near the three-decade low of 151.94 that prompted government intervention a year ago. Market participants say what's changed is the expectation that Japan would be in the driver's seat for the yen this year. Yet together with the risk of intervention, it only seems to have stopped the yen from falling, rather than driving the sort of rally investors had been girding for at the outset of 2023. To be sure, Sachdev said interest in 'carry trades' - borrowing yen to sell for higher-interest paying currencies is waning, while investors have been keen for long exposure to yen assets.
Persons: Kim Kyung, Patrick Law, Masafumi Yamamoto, Yen, Shafali Sachdev, Sachdev, Tom Westbrook, Jacqueline Wong Organizations: National Printing Bureau, Bank of Japan, REUTERS, Rights, Federal, Pacific FX, Bank of America, Bank of International Settlements, Bank of, Mizuho Securities, U.S ., Swiss, Reuters, BNP, Wealth Management, Citi, Thomson Locations: Tokyo, Japan, Rights SINGAPORE, Asia, Pacific, Hong Kong, U.S
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