As one news source reported: BOJ sources have said the central bank is considering ways to steepen the yield curve as a means to reduce short-term costs for businesses while protecting Japanese banks.
"We don't know what the central bank will announce next week, and most of us are nervous. Most investors do not want to take positions now," said Isao Kubo, an equity strategist at Nissay Asset Management. He said speculation over what the BOJ might do at next week's meeting could stoke market volatility."
This comes after Monday's talk by Fed voting member, Fed Governor Lael Brainard warned of the dangers in cutting rates too quickly, saying Fed support of the U.S. Economy has it's place still until a stronger trend in consumer spending and evidence of rising inflation are clearer. Many took those point as proof the Fed wouldn't hike rates next week. Weakness overseas was still a concern.
"Today's new normal counsels prudence in the removal of policy accommodation," Brainard, one of six permanent voters on the Fed's rate-setting committee, told the Chicago Council on Global Affairs.
Things for the Fed among all the confusion are not about to change apparently as, according to the WSJ, Republican presidential nominee Donald Trump ratcheted up his criticism of the Federal Reserve and Chairwoman Janet Yellen on Monday, saying the central bank is keeping rates low to help President Barack Obama.
Mr. Trump, presumably speaking of Ms. Yellen, said interest rates have been kept low “because she’s obviously political and doing what Obama wants her to do.” Mr. Trump, in an interview on CNBC, added “what they [the Fed] are doing is, I believe, it’s a false market. Money is essentially free.”
Ms. Yellen, he said, “should be ashamed of herself.”
After their biggest declines since late June on Monday, Australia’s S&P/ASX 200 rose 1% and Korea’s Kospi gained 0.9%. The Nikkei Stock Average advanced 0.5%. The ASX 200 was up 0.2%, the Nikkei was off 0.11%, the Kospi up 0.57, the Hang Seng gained 0.87%
Economic news out of China was better than expected for August with industrial output up 6.3& and retail sales climbing 10.6% as authorities there to move the things towards a more consumption-based-service-led economy. In currency markets, the U.S. dollar index, which measures the greenback against a basket of currencies, was trading at 95.107 as of 10:39 a.m. HK/SIN. The dollar/yen currency pair was trading at 101.58, falling below levels of around 102 from last week. The Australian dollar was trading at $0.7551, down from levels above $0.77 last week.
U.S. crude oil futures fell 0.76 percent to $45.94 a barrel during Asian hours, while Brent futures slipped 0.62 percent to $48.02. The U.S. dollar declined against a basket of major rivals Monday after Fed Governor Brainard's comments, while speculation about the Bank of Japan boosted the yen. Gold held steady at $1328.52.
Mr. Trump, presumably speaking of Ms. Yellen, said interest rates have been kept low “because she’s obviously political and doing what Obama wants her to do.” Mr. Trump, in an interview on CNBC, added “what they [the Fed] are doing is, I believe, it’s a false market. Money is essentially free.”
Ms. Yellen, he said, “should be ashamed of herself.”
After their biggest declines since late June on Monday, Australia’s S&P/ASX 200 rose 1% and Korea’s Kospi gained 0.9%. The Nikkei Stock Average advanced 0.5%. The ASX 200 was up 0.2%, the Nikkei was off 0.11%, the Kospi up 0.57, the Hang Seng gained 0.87%
Economic news out of China was better than expected for August with industrial output up 6.3& and retail sales climbing 10.6% as authorities there to move the things towards a more consumption-based-service-led economy. In currency markets, the U.S. dollar index, which measures the greenback against a basket of currencies, was trading at 95.107 as of 10:39 a.m. HK/SIN. The dollar/yen currency pair was trading at 101.58, falling below levels of around 102 from last week. The Australian dollar was trading at $0.7551, down from levels above $0.77 last week.
U.S. crude oil futures fell 0.76 percent to $45.94 a barrel during Asian hours, while Brent futures slipped 0.62 percent to $48.02. The U.S. dollar declined against a basket of major rivals Monday after Fed Governor Brainard's comments, while speculation about the Bank of Japan boosted the yen. Gold held steady at $1328.52.
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