Japan uses interest rate hikes in exchange for tariff concessions, even a 'mini Mar-a-Lago agreement'? Focus on next week's meeting of the finance ministers of the U.S. and Japan.
The discussion between the finance ministers of the USA and Japan next week may become a turning point for the yen Exchange Rates. Citigroup believes that if the USD/JPY Exchange Rates remain above 140, the Bank of Japan may accelerate the tightening of MMF policy under pressure from the USA. Considering the current inflation and interest rate levels in the USA, it is not yet mature to reach a "mini Mar-a-Lago agreement"; a more realistic solution is for the Japanese government to extend its MMF holdings of US Treasury bonds, contributing to a decline in US interest rates.
Stocks such as Juishi HD [Interesting stocks based on changes in Volume].
Closing price of the stock compared to the previous day Volume *<6769>* Zain 1041150560300 *<1595>* NZAMJ REIT 174114149480 *<2033>* KOSPI Bull 1068085561 *<1625>* Electric Precision 384502502240 *<3467>* Aggre City D 18304867800 *<1514>* Jujitsu HD 813661930400 *<7351>* Good Patch 5762088000 *<5136>* tripla 2085400375
Japanese bonds have fallen to their lowest point since 2009! The Governor of the Bank of Japan reiterates the determination to 'reduce the balance sheet' and holds an optimistic view on salary prospects.
Kazuo Ueda stated, "From now on, we may see inflation easing driven by import costs, while wages will continue to rise steadily. Therefore, we expect real wages and Consumer spending to improve in the future." The Bank of Japan has also begun to implement an Algo tightening plan, with the monthly purchase of Bonds expected to be halved to 3 trillion yen by early 2026.
Japan's GDP has expanded for three consecutive quarters, expectations for interest rate hikes have surged, and the 10-year Japanese government bond yield reached a 15-year high at one point.
Japan's economic performance in the fourth quarter exceeded market expectations, with a quarterly annualized GDP of 2.8%, far above the general market expectation of 1.1%, leading to a strengthening of the yen. Economists expect the Bank of Japan to raise interest rates again this summer. Overnight index swaps indicate that the market believes there is over an 80% chance of the Bank of Japan raising interest rates before July.
After the Bank of Japan rarely indicated an interest rate hike, the market may return to uncertainty.
To avoid being led by the market and given the uncertainty in the economic outlook, the Bank of Japan may restore ambiguous policy guidance.
Timy and other stocks that are interesting based on changes in Volume.
Stock Closing Price Change from Previous Day Volume <2526> NZAM 400 25565 160 2800 <4179> Gene Next 36036204500 <2081> Policy Shareholding Elimination Promotion 125003399 <2498> Oricon HD 561044046900 <2524> NZAM TPX 2827.5 3.5 12460 <215A> Thailand