The weak survey data in Japan continues to pour in. The May forecast index from the Economy Watchers Survey tumbled to the lowest since June 2016. The forecast index for…
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The Bank of Japan published a more detailed breakdown of real exports on Monday, showing a 6.9% m/m jump in shipments to the US in April. Japan’s trade surplus with…
The Bank of Japan revised its forward guidance on Thursday in an attempt to match the dovish stances taken by other central banks. Given the lacklustre performance of the Japanese…
The Bank of Japan’s latest assessment that the economy is “expanding moderately” might have seemed surprising given the recent slump in exports. The adverse external backdrop was acknowledged, but Governor…
President Trump’s assertion on Wednesday (April 12th) that the US dollar was “too high” precipitated a sharp correction in exchange rates and hit Japanese equities. The administration’s propensity to use…
Labour shortages are forcing firms to automate, giving Japan a significant and important edge in robotics. Production of industrial robots has surged: ‘intelligent’ robots have seen a particularly marked increase…
It may be too early to expect any change to yield curve control at this week’s BoJ meeting. The slow grind higher in US Treasury yields has helped push the…
The BoJ has re-asserted its credibility: last month’s offer of unlimited bond purchases helped push 10-year JGB yields lower. It went one step further on February 28th, publishing a detailed…
The BoJ was forced into action on Friday as yields on 10-year JGBs spiked. An “unlimited” purchase offer pushed yields lower after a disappointing Rinban. The central bank has not…
Mr Trump’s protectionist rhetoric unnerved stock markets on Monday. However, the reaction in the US Treasury and JGB markets was telling: yields on 10-year JGBs and US Treasuries both finished…
