U.S. Urges Japan on Monetary Policy as Yen Volatility Raises Market Concerns 
China Services PMI Hits Three-Month High as New Orders and Hiring Improve 
Federal Reserve Faces Subpoena Delay Amid Investigation Into Chair Jerome Powell 
BOJ Policymakers Warn Weak Yen Could Fuel Inflation Risks and Delay Rate Action 
BOJ Rate Decision in Focus as Yen Weakness and Inflation Shape Market Outlook 
RBA Expected to Raise Interest Rates by 25 Basis Points in February, ANZ Forecast Says 
Australian Scandium Project Backed by Richard Friedland Poised to Support U.S. Critical Minerals Stockpile 
China Holds Loan Prime Rates Steady in January as Market Expectations Align 
Asian Currencies Strengthen as Indian Rupee and Australian Dollar Rally 
Japan Finance Minister Defends PM Takaichi’s Remarks on Weak Yen Benefits 
The Federal Reserve will hold its last two-day monetary policy meeting on December 13-14, decision is expected to be released on Wednesday by 19:00 GMT.
It is widely expected that the central bank will increase the target range of the key interest rate by 25 basis points to 0.50-0.75 percent, with a unanimous decision, while making little change to the monetary statement, though the Committee is likely to acknowledge that market-based measures of inflation compensation have risen further.
With the economy seemingly close to ‘full employment’ there is a now a case for more hawkish guidance. A heavy sell-off in the U.S. Treasuries reflects concerns looser fiscal policy may cause the central bank to move more aggressively in the near future. Market is pricing two more hikes in 2017 from the Federal Reserve in the wake of Trump’s reinflation policies.
These hikes are expected to be a counter to curb rising inflation next year from government fiscal spending by increasing borrowing cost. Lastly, for now the Fed will probably not change its rhetoric, while it waits to see what fiscal policy measures are enacted.
