Japan PM Sanae Takaichi Unveils Growth Plan as BOJ Independence Concerns Lift Bond Yields 
BOJ Holds Rates at 1% as Inflation Outlook Eases, October Rate Hike Still Possible 
World game at war: why some European nations have threatened a World Cup boycott 
Meta-backed research finds exposure to ‘untrustworthy’ social media is rare. The fine print is less reassuring 
Is Netanyahu’s star waning in Washington? His latest meeting with Trump suggests it may be 
Fed Holds Interest Rates Steady as Kevin Warsh Says Rising Treasury Yields Tighten Financial Conditions 
South Korea Raises Interest Rates to 2.75% as Inflation and Weak Won Drive Tightening 
Gold Slips Below $4050 as Bond Yields Surge to 4.7% on Fed Inflation Concerns – Sell Rallies at $4060 Targeting $3940 
Brazil Cuts Selic Rate to 14% as Inflation Eases but Risks Persist 
BOJ Rate Decision in Focus as Sticky Inflation, Weak Yen Shape USD/JPY and Nikkei Outlook 
According to prominent US investment bank Goldman Sachs there may be good reason for FED to keep interest rates on hold well into 2016 and potentially beyond. The risks have grown of not a short time delay but longer period of Zero rate policy (ZRP).
Though December is still Goldman's top forecast.
Last Friday's very weak non-farm payroll, where job addition was just 142,000 in September and last two month got revised down by 59,000 along with no wage growth has clearly knocked out many of the hawks.
Implied probability of a rate hike has fallen below 8% for October hike and around 35% for lift off in December.
According to Goldman Sachs,
- "Further bad news on output and employment could potentially result in quite a large shift in the monetary policy outlook. When the starting point for growth is far above trend, a given slowdown merely delays the point at which the labor market hits full employment, inflation pressure rises more significantly, and standard monetary policy rules call for liftoff. But when the starting point for growth is only modestly above trend, as it probably is right now, the same slowdown might halt the move toward full employment and greater inflation pressure entirely. In that case, standard monetary policy rules might justify a continuation of the current zero-rate policy for much longer, well into 2016 or potentially even beyond."
Dollar nevertheless has been performing well, in spite of severe knock back in rate hike expectation. FXCM Dollar index is currently trading at 12047, up from 12012 low made after Friday's NFP.
