Australia’s rise in September employment remains smallest in seven months; jobless rate likely to drift higher in near-term
KRW likely to recoup more of year-to-date losses along with yuan appreciation in coming weeks, says Scotiabank
Australian bonds slump after U.S.-China trade tension disturbs investors once again; Sep labour report disappoints
Regulatory Series on Cryptocurrencies: US-CFTC Sues Naveda Company in $11 Million Cryptocurrency Fraudulent Scheme
Swedish jobless rate remains unchanged at 7.4 pct in September, wage growth unlikely to pick up soon
U.S. housing starts likely to have slowed slightly in September, residential construction to boost growth in Q3
U.K. headline inflation remains unchanged at 1.7 pct in September, likely to stay below 2 pct in near-term
Bank of Japan’s monetary policy to stay extremely accommodative through fiscal 2017 – Danske Bank
The Bank of Japan’s monetary policy is expected to stay extremely accommodative through fiscal 2017, which would also underpin demand, both domestically and abroad, noted Danske Bank in a research report. The Japanese central bank has promised to hold measures in place until the 2 percent inflation target is reached. Inflation has been accelerating through 2017, but mostly due to rising energy prices.
Underlying price pressure in Japan continues to be very low and the Bank of Japan’s inflation target is at present not within reach. Nearly three decades of very low inflation signify that firms are not willing to hike prices and attempt to cut back on services and streamline their operations instead of raising wages, stated Danske Bank. Lo worker mobility and a preference for job security over wage rises are huge obstacles for wage inflation.
Meanwhile, public spending is also expected to stay supportive for the Japanese economy through the fiscal year 2017.
“We expect to see GDP-growth around 2 percent q/q annualised through the rest of fiscal 2017 and a significant slowdown in fiscal 2018 when stimulus starts to wear off”, added Danske Bank.
At 22:00 GMT the FxWirePro's Hourly Strength Index of Japanese Yen was highly bearish at -133.06, while the FxWirePro's Hourly Strength Index of US Dollar was highly bullish at 110.331. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex
FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest