EUR/USD
1.15959
-0.136%
Gold
5160.55
1.418%
Oil
74.834
0.740%
USD/JPY
157.416
-0.172%
GBP/USD
1.33199
-0.272%
GBP/JPY
209.682
-0.425%
Real-time News
March 4th - Bank of Japan Governor Kazuo Ueda stated on Wednesday that a significant increase in wage levels is needed for Japan to sustainably achieve its 2% inflation target. Speaking in parliament, Ueda said, "The Bank of Japan cannot exert a strong influence on real wage growth," which depends primarily on medium- to long-term labor productivity. He added, "However, we will implement monetary policy to ensure that Japan sustainably and stably achieves its inflation target while wages grow."Bank of Japan Governor Kazuo Ueda: If the economic and price trends are in line with our forecasts, we will continue to raise interest rates.Japans household consumer confidence index for February was 40, below the expected 38.2 and the previous reading of 37.9.March 4th - Since the outbreak of conflict in the Middle East this week, the yen has continued to weaken, deviating from its traditional safe-haven asset role, and Tokyo traders are preparing for possible government intervention. The yen has depreciated by about 1% since last Friday, to 157.2 yen to the dollar. Traders say this contrasts sharply with previous periods of geopolitical tension. Neil Newman, Japan strategist at Astris Advisory, said, "The yen is no longer a safe-haven asset. Companies stopped doing so about four years ago. They are now under pressure to the opposite, encouraged to invest overseas, and are still doing so on a large scale. In Japans current economic environment, there is no incentive to repatriate funds." Analysts say the yens unexpected weakness highlights structural changes and vulnerabilities in the Japanese economy. The market has been assessing the impact of Sanae Takashis expanded fiscal spending plan and her opposition to further interest rate hikes by the Bank of Japan. Tai Hui, chief market strategist for Asia Pacific at JPMorgan Asset Management, said increased exchange rate volatility has significantly reduced the yens appeal as a hedging currency. Geopolitical conflicts have also increased Japans exposure to rising energy prices and upside inflation risks.Bank of Japan Governor Kazuo Ueda: (When asked whether Japanese Prime Minister Sanae Takaichi expressed reservations about raising interest rates during their meeting in February) The two exchanged general views on economic and price developments.
