News and Reviews Asian Economic Zone

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Japanese Want A Balanced Exchange

Tuesday, May 21, 2013

 

Japan's economy minister hopes the exchange rate will stabilize at a level that will balance the impact on exports and imports. "I hope the exchange rate will stabilize at levels that can sustain the Japanese economy," Economy Minister Akira Amari said. "I expect the market will find the exchange rate that can balance the resulting effects on exports and imports." When asked for his comments about the strong yen which has been largely corrected, Amari just say, "I'm not going to comment on whether the yen has completed the correction process, atuap where appropriate correction level."

 

Amari's comments came after USD / JPY hit a 103 for the first time in four years on Friday. With the yen exchange rate is now close to the level before the crisis raised concerns about the impact that could occur if the exchange rate continues to weaken. Although weakening yen could have a positive impact on earnings of exporters, but it also increases the cost of imports. Meanwhile, the yen weakened in Asian session. USD / JPY is now trading 102.55; away from daily lows 102.06

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Japan Exports Seen Rising, But Will Remain Trade Balance Deficit

Tuesday, May 21, 2013

 

Japan's exports in April predicted to rise to two months in a row, led by exports of cars and electronic equipment demand in Asia. However, Japan's Ministry of Finance will also highlight the costs incurred due to the weakening yen, and Japan predicted a deficit for 10 consecutive months in April. Economists forecast 5.9% rise in exports in April.

 

Japanese Prime Minister Shinzo Abe made ​​a monetary stimulus policies that bring the yen to its lowest level in four and a half year low against the U.S. dollar and pushed the Japanese stock market rose by 70% since November. A weaker yen also have an impact on fuel import costs sharply increased export volume growth is close. Therefore many economists predict this year Japan will continue to have a trade deficit.

 

The data on Wednesday is expected to show an increase in imports by 6.7%, it will make Japan's trade balance deficit of 621.1 billion yen ($ 6.03 billion) to make Japan a deficit for ten months in a row, to be the longest since 1979-1980.

 

Data last week showed Japan's economy is larger than expected, driven by private consumption, and the rebound of the export sector. Economists predict a similar increase will occur in the next quarter. But global economic uncertainty also affects the growth of Japan's economy, particularly the data from the U.S. and China, which is Japan's largest export market.

 

The BOJ is expected to stop the policy of monetary easing on Wednesday, after the release of the stimulus program on April 4, injected about $ 1.4 trillion into the economy in less than 2 years to stop the stagnation that plagued the Japanese economy for nearly two decades.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Japan Trade Balance Deficit Worsens

Wednesday, May 22, 2013

 

Japan's trade deficit worsened in April due to higher import growth compared to export growth. This is a deficit for 10 consecutive months and reflects the effects of the drastic weakening yen. The continued weakness in the yen is to increase exports but will also boost imports of energy products that are needed by the economy Jepan. Deficit reached - ¥ 879.9 billion, worse than estimates - ¥ 621.1 billion and publication March - ¥ 362.4 billion. Exports recorded a growth of 3.8% for the month of April; better than previous publications which only rose 1.1%. Imports increased 9.4%, higher than 5.5% in March publications.

 

Deteriorating export performance will certainly provide support for Prime Minister Shinzo Abe to restart Japan's nuclear energy program. The majority of the Japanese nuclear power plant is not working after the Fukushima tragedy which has made Japanese society concerned with safety. If all power plants can be re-enabled then this course can reduce energy dependence Japan.

 

Meanwhile, the yen has not changed much despite Nikkei rally continued in early Asian session. USD / JPY is now trading 102.48; 102.49 near opening levels. Nikkei futures are now traded 15525, 15450 away from daily lows

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

BOJ Raise Economic Assessment, Maintain Monetary Policy

Wednesday, May 22, 2013

 

BOJ today raised Japan's economic assessment for five consecutive months amid signs of improvement. BOJ did not change its monetary easing policy to stop deflation and generate inlasi 2% within two years.

 

In a meeting that lasted 2 days, board members said Japan's economy is recovering. Data last week showed Japan's annual economic growth of 3.5% in the first quarter.

 

This month the dollar touched above 100 yen per dollar, providing a positive sign for Japanese exporters, causing the Japanese stock market touched its highest level in more than 5 years. However, because Japan has not separated from the deflation that hit more than 15 years, the BOJ decided to keep the policy by increasing the monetary base by 60 trillion yen to 70 trillion yen per year.

[mynameisandhy]

News and Economic Review Zone Asia (Indonesia)

 

Indonesian exports Potential Return to Growth Path

Wednesday, May 22, 2013

 

Indonesia's export growth is likely to return in 2013, after declining in the last year, driven by growth in a relatively new market, according to a senior official of the Commerce Ministry on Wednesday.

 

"Our exports could reach $ 194 - $ 195 billion this year, from about $ 191 billion last year," said Gusmardi Bustami, Director General of Export Development at the Ministry of Commerce, on the sidelines of a business event. "Growth in exports to non-traditional markets could grow by 16% from $ 24.6 billion last year, compared with only $ 18 billion in 2008."

 

In particular, Bustami said the government is reviewing a plan to increase exports to African countries such as South Africa, Tanzania, Kenya, Nigeria, Madagascar, and Mozambique, he said.

 

Indonesian exports recorded a decline of about 6% in 2012. Although the trade balance recorded a surplus in the non-oil and gas, the increase in crude oil imports triggered by the surge in domestic demand has resulted in the overall trade deficit and a weakening local currency.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Respond to market turmoil, BOJ Money Supply

Thursday, May 23, 2013

 

Tub full of anger, Bank of Japan (BOJ) responded directly market turmoil that occurred today (Thursday, 23/5) by pouring fresh money into the economy, especially in order to stabilize prices in the Japanese government bond market.

 

BOJ announced today operating fund money supply by as much as 2 trillion yen ($ 19 billion), especially after the 10-year JGB yield rose to a record high of more than one year. On Wednesday the whole, the yield for the benchmark 10-year berakir closed at the level of 0.885% before today rose as high as 1.0%. BOJ also announced today two operations bond purchases worth a total of up to Y810 billion.

 

Among fund managers and dealers said that a massive selloff in the market today is mainly due to disappointment among investors because the central bank does not provide a solution or stronger statements regarding the recent strengthening of the yield and market turmoil after its policy meeting (BOJ meeting) which ended on Wednesday .

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Relieve BoJ action Japanese Bond Market Turmoil

Friday, May 24, 2013

 

Japanese government bond yields moved slightly away from the highest level on Friday as two operations bond purchases by the Bank of Japan to help calm the markets. Yields on Japan's 10-year bond fell to 0.835% was observed on the level of 0.905% before surgery.

 

BoJ reported to have bought a total of ¥ 600 billion ($ 5.9 billion) bond between 5-year and 10-year and ¥ 300 billion of bonds with maturities of more than 10-years, in operations held for day 2. On the day before the BoJ was forced to intervene in the market after a surge in 10-year bond yields to a level of 1% stoked fears Japanese officials.

 

"The impact of the operation, especially in the 5-year tenor and 10-years, has pushed yields down," said Teruyoshi Sotome, an analyst at Mizuho Securities.

 

While the BoJ Governor Haruhiko Kuroda on Friday said that the central bank wants bond market becomes more stable and affirmed that the central bank will continue to continue to run the operations in a flexible market and strengthen communication with market participants to prevent volatility in bond yields in the future.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

BoJ's Kuroda Confident With Japan's Financial System

Monday, May 27, 2013

 

Governor of the Bank of Japan, Haruhiko Kuroda, Japan's financial system remains confident it can handle losses that may result from the increase in borrowing costs (yield) bonds. "Japan's financial system is still tough to deal with shocks such as rising yields and deteriorating economic conditions," said Koroda who intimated tolerance during movements triggered by the outlook for economic recovery. Kuroda also said the central bank will oversee asset overheating signals or excessive risk-taking by financial institutions;, but Kuroda has not seen such a signal.

 

BoJ bond buying program has helped encourage the Japanese government bond yields rising to touch the 1% last week, the highest level in the last year. The increase in yield would make the government should bear the burden of the issued bonds are more expensive and can also hurt the financial performance of Japanese banks that have a lot of government bonds in the portfolio. Meanwhile, the yen rose in early Asian session. USD / JPY is now trading 101.01; away from daily highs 101.28

[mynameisandhy]

News and Economic Review Zone Asia (China)

 

China Industrial Profits Rise Due to Increased Sales

Monday, May 27, 2013

 

Industrial companies China has increased profit due to increased sales in April, in contrast to manufacturing index which give an indication of China's economic growth slows. Revenue net last month rose 9.3% from a year earlier, became 437 billion yuan ($ 71.3 billion). after rising 5.3% in March. Profit in the first quarter rose 11.4% to 1.61 trillion yuan. Meanwhile industry revenue rose 11.9% in the first four months to 30.4 trillion yuan.

 

Strong profit growth Dapa spur investment in plant and equipment, helping sustain growth in China, as the government avoids the addition of stimulus to spur growth. Chinese shares have dropped as much as 6% of the highest level on Feb. 6, and a survey last week showed China's manufacturing contracted this month, the first since last October.

 

Industry revenue rose 11.9% in the first four months to 30.4 trillion yuan.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

BoJ Beware Japanese Bond Market

Monday, May 27, 2013

 

Minutes BoJ meeting in April showed the presence of a discussion on the Japanese bond market volatility. This can be intimated that the BoJ officials began uncomfortable with rising borrowing costs (yield) of Japanese government bonds which can disrupt the effectiveness of aggressive monetary easing policies being carried out by the central bank. "We see the potential for instability in the bond market," says one member of the board of the BoJ monetary as recorded in the minutes, released this morning.

 

Some board members monetary see more bond market turmoil caused by the mixing of the impact of the bond-buying program and commitment to achieve the inflation target. Bond-buying program to lower yields but widespread expectations that the central bank is committed to achieving the inflation target of 2% may raise bond yields. Some BoJ officials have called for the assessment policy to prevent the decline of liquidity in the Japanese government bond market has been blamed as one cause of the turmoil.

 

Meanwhile, the yen strengthened and the Nikkei fell in early Asian session. USD / JPY is now trading 100.99; away from daily highs 101.28. Nikkei futures are now traded 14220; away from daily highs 14310.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Japan's Largest Creditor Countries Maintain Status

Tuesday, May 28th, 2013

 

Japanese government data showed the country's third largest economy in the world to maintain its position as the largest creditor nation in the world, which reflects the difference between the value of assets held abroad minus liabilities of a country. Japan became the largest creditor nation sequential 22 times in 2012, due to the strengthening of the dollar against the yen helped inflate the value of Japanese overseas assets. China and Germany ranked second and third.

 

According to the Ministry of Finance of Japan, Japan's net assets abroad amounted to 296.3 trillion yen, or $ 2.9 trillion, of the value of 86.32 yen per dollar at the end of last year. The Japanese currency has fallen after the Prime Minister, Shinzo Abe, has launched an aggressive monetary easing program. weaker yen means assets in the form of foreign currency, such as dollars, will be an advanced more valuable when measured in yen.

 

But analysts say there is no guarantee that Japan would retain the title, due to a large trade deficit, driven surge in energy imports amid the Fukushima atomic crisis, and also has a huge public debt.

 

In addition to Japanese government data also showed China's net assets abroad amounted to 150.3 trillion yen last year, followed by Germany 121.9 billion yen, 84.7 billion yen Switzerland, and Hong Kong 63.4 trillion yen.

[mynameisandhy]

News and Economic Review Zone Asia (China)

 

Chinese Prime Minister: China 7% Annual Growth Need To Achieve GDP Target

Tuesday, May 28th, 2013

 

China requires an average annual growth of 7% to reach its goal of doubling the per capita gross national income by 2020, Prime Minister Li Keqiang said on Monday during a visit to Berlin.

 

He spoke after discussions with German economic minister Philipp Roesler, Li also explained that the growth of China's economy recorded a 7.7% rise in the first quarter of this year and it was "on target".

 

Some recent data shows that the country with the world's second largest economy has lost momentum and the economists say that they probably will not reach the target growth rate in 2013 at 7.5 percent.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

BoJ officials: Frequency Bond Purchases Will propagated

Wednesday, May 29, 2013

 

Bank of Japan plans to increase the number of days of operations the Japanese government bond purchases in a month and reducing the amount of each bid, according to a statement by a senior central bank officials after a meeting between the officials and the BoJ bond market participants.

 

"Many players are calling for an increase in the number of operations, while reducing the value of the purchase," said the officials told reporters on Wednesday. "The BoJ itself will release details of the latest purchase operation on Thursday tomorrow."

 

The central bank officials also added that the BoJ is likely to launch an operation purchase JGBs (Japanese Government Bonds) for about 10 days or more each month.

 

Bond market participants continue to await a response BoJ over rising bond yields and turnover recently. Although the BoJ Governor Haruhiko Kuroda has promised to use an aggressive bond-buying program in order to reduce the yield, the yield on 10-year bonds it touched its highest level in more than 1-year in the last week.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Japanese Banking Can Overcome Impact of an Increase Yield

Thursday, May 30, 2013

 

Governor of the Bank of Japan, Haruhiko Kuroda, Japanese banks are sure to overcome the effects of rising borrowing costs (yield) of Japanese government bonds. "The financial situation of Japanese banks will not feel a serious impact from the increase in yield since banks have improved their capital positions in recent years," Kuroda said in front of the Japanese parliament. The BoJ governor also saw the government's efforts to restore the economy will have a positive impact on bank finance.

 

Optimism is also visible from the Japanese finance minister, Taro Aso, who believes the financial position of Japanese banks will not experience serious problems for the banks' capital. "The increase in yield means a decrease in the value of bonds held by banks. However, if this is caused by the improvement in the economy will mean there will be a rise in lending and higher interest margins so as to provide a positive impact for the banks," said Aso.

 

However, the yen and the Nikkei does not seem to welcome the optimism shown by Kuroda and Aso. Investors are worried that the BoJ will not be able to dampen the rise in Japanese government bond yields which if unchecked could complicate the government's efforts to restore the Japanese economy. Yields on Japanese government bonds with 10-year 0.93% even touched this morning; close to 1% of the high level achieved last week. Reduce weakening yen and Nikkei continued weakening post comments Kuroda and Aso. USD / JPY is now trading 101.07; away from daily highs 101.52. Nikkei futures traded 13820; away from daily highs 14090.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

BOJ Target Still Far

Friday, May 31, 2013

 

Japan factory output accelerated in April and deflation to improve somewhat as the strong yen and weakening overseas demand levels encourage the growth rate, bodes well for Prime Minister Shinzo Abe's efforts to exclude Japan from deflation and low growth rate for nearly 2 decades.

 

But the core rate of consumer inflation continues to fall and the manufacturing sector is expected to weaken, according to government data on Friday, underscoring the challenges faced by the Bank of Japan under its new governor Haruhiko Kuroda in achieving the inflation target of 3%.

 

"Trend deflation did not indicate any change," said Yuichi Kodama, chief economist at Meiji Yasuda Life Insurance in Tokyo. He estimates that the economy will continue to recover at the end of the fiscal year to March 2014. "Eskpektasi to deflation inherent in the community is very strong," said Kodama. "It seems rather difficult for monetary easing implemented by Kuroda to achieve a positive rate of inflation and economic recovery." Nevertheless, there are still tentative signs that Abe and the BOJ will probably win the fight against deflation.

[mynameisandhy]

News and Economic Review Zone Asia (China)

 

Home prices in China Return Rises

Monday, June 3, 2013

 

Home prices in China increased again although the government has launched a policy to curb soaring property prices further. House prices rose 6.9% in May, higher than April's publications increased by only 0.81%, according to SouFun Holdings, the largest real estate website in China based on the results of a survey in 100 cities in China. "The rise in land prices, the lack of supplies in the big city, and expectations for a continuing loose monetary policy will still sustain further increases in house prices," the statement SouFun Holdings.

 

The continued rise in house prices could push Beijing to carry out strict policy to keep the property sector. Official government website on 24 May last has reported that China will expand the current property tax policy is only enforced in Shanghai and Chongqing. Beijing may limit the rise in house prices on a large scale in the second half, according to 21st Century Business Herald reports.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Abe Will Urge Japan Pension Fund Strategy Change

Tuesday, June 4, 2013

 

Japanese government is preparing to urge Japanese pension funds worth more than 2 trillion dollars to increase their investments in the stock market and foreign assets as part of a growth strategy that has been prepared by Prime Minister Shinzo Abe, according to one source.

 

The move is likely to be announced on Wednesday, represents the first time the government tried to mobilize savings fund Abe Japan in large numbers to encourage the growth rate aims to spark a rise in the level of consumer spending and corporate investment to drive the economy towards an inflation rate of 2%. The move risks jgua shows new elements of the policy called Abenomics because it will change the flow of funds from the government to the private sector at risk pushing interest rates higher.

 

Specifically, the government will establish a panel in July to consider the public funds investment strategy, which relies heavily on government bond investments in recent years. Panel discussion will be included as part of a package of measures to encourage the growth rate may be announced tomorrow Wednesday, according to sources. The panel will be looking for a deal this fall to the strategy and will urge their application no later than April 2015 later.

[mynameisandhy]

News and Economic Review Zone Asia (China)

 

EU slams China Exporters Dumping Practices

Wednesday, June 5, 2013

 

European governments had just fired ammunition to the Chinese policy, which is considered moderate initiate multilateral trade war. Of the Asian financial repeatedly accused of dumping practices in import export cooperation with the EU side.

 

The European Commission on Tuesday (04/06) inaugurated the new provisional tariff for solar panel products (solar) imported from China. This policy is a warning to China that often flooded the European market with lower-priced products, even below production cost (dumping). "Our policy today is an emergency measure to protect European businesses from dumping action," said EU Trade Commissioner, Karel de Gucht. He stated that the ideal price for solar panel products from China should be 88% higher than current levels.

 

11.8% tariffs will be applied to all solar panel products starting June 6. Two months later, the average tax increased to 47.6% so that the European Union has the bargaining power to negotiate with the Chinese side competition related products. If the tax discipline failed to pave the way negotiations with Beijing, the European Union will decide in December whether permanent tax was reinstated for the next five years.

 

The new rates will apply to imported products European panel that value totaling 21 billion euros. But European governments hope psychological effects also affect other components of trade so that they appear to be more awareness of China's open price competition with producers in the European region. European Union trade partner of China after the United States with an annual turnover of 480 billion euros.

 

The European Commission is concerned to protect the 25,000 workers in the shelter sector, solar panel production. If China continues to flood Europe with lower-priced products, it is not possible companies go bankrupt and was forced to lay off employees. "(Policy) is not protectionism," said de Gucht, as he warned China to follow the rules in force in its territory.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Japan: The weakening Yen Good for Economy

Thursday, June 6, 2013

 

Japanese government back to defend the exchange rate depreciation trend in recent times. Tokyo party claims decline Yen exchange rate against a basket of other major currencies is a good catalyst for the national economy.

 

"The overall trend in the currency market had a positive impact on the growth of the domestic economy," said Yoshihide Suga Cabinet Secretary's comments in his speech today. Suga is not denied that the decline in yen impact on rising prices of imported goods. It's only natural if there are complaints from residents who felt the price was foreign-made products more expensive in recent months.

 

"The economic recovery moving in the track," said the cabinet secretary. He said Japan needs more time to combat climate deflation but as time went on, people slowly getting benefited by the rate of improvement. Yen exchange rate is currently observed at the level of 99 099 per 129 756 per dollar and the Euro.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Japan Not Panic Face Market Turmoil

Friday, June 7, 2013

 

Japanese government express dismay against market volatility but not too panicked to see the high volatility. The yen strengthened to 95.54 hit while Nikkei futures still struggling near the lowest level in the last two months as the emergence of doubts about the policy of "Abenomics" to restore the Japanese economy. However, because of the turmoil but also by decreasing concerns over the reduction in the Fed's monetary stimulus Tokyo did not have much choice but to just look at the movement of the market and expect volatility to subside soon.

 

"We continue to monitor the movement of the market ... but I do not think the government should take the response in the near future. Market volatility is high, but has not required intervention," said Finance Minister Taro Aso. "The important thing is now beginning to stabilize the Japanese economy," Economy Minister Akira Amari said as he uttered that market movements are also influenced by external factors.

 

One reason that might explain why Tokyo is not so concerned with the exchange rate of the Japanese yen is probably not too want the company continued weakness in the yen. Recent Reuters survey showed Japanese companies want stability yen or maybe a little reinforcement. After the psychological level of 100 yen penetrate, Reuters survey of 400 companies showed 80% of respondents want stable at around 100 yen. Only 7% who want the yen to weaken to a level of 105 and 8% who want the yen depreciated to 110. On the other hand, 29% of respondents want the yen climbed back to the level 95 and even 9% want the yen to be at level 90.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Being Japanese Growth Revised 4.1% Increase In Efforts Abenomics

Monday, June 10, 2013

 

Japan's economic growth over the government's initial estimate in the first quarter, has helped Prime Minister Shinzo Abe yng maintain confidence in its campaign to defeat deflation.

 

Annual GDP increased to 4.1%, compared with an initial estimate of 3.5%, the Cabinet Office said in Tokyo today. GDP figures are not adjusted for price changes, rose as much as 0.6% from the previous three months, leaving a smaller economy 7% from the same period in 1997. The level of consumer confidence in May was the highest level since 2007, is shown in the data from the Cabinet Office.

 

Soaring stock markets, helping Abe attempts to maintain momentum as the government moves to the "three arrows" of Abenomics, growth strategy to accompany the monetary and fiscal stimulus. While the BOJ policy makers meet today and tomorrow, their policy measures may be limited by BOJ Governor Haruhiko Kuroda promise to avoid the move "extras" after launching the monetary easing that has never happened before in the month of April.

 

"This is what needs to be Abe major structural change for this year," klata Martin Schulz, an economist at Fujitsu Research Institute in Tokyo, told Bloomberg Television. With consumption taxes is looming next year, the economy is in a "sweet spot" that will give the government an opportunity to pursue growth agenda after elections in July, he added.

Nowotny spoke in konsfrensi economics in Vienna.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

'No Surprises of Tokyo'

Tuesday, June 11, 2013

 

As expected earlier, the Bank of Japan (BOJ) still maintains its monetary policy meeting today (Tuesday 11/06). The monetary base remains pegged at 60-70 trillion yen per year ($ 600-700 billion), while the domestic economic assessment is raised.

 

"The Japanese economy are rising," the BOJ in a statement while raising economic projections. Board member, Takahide Kiuchi, had initiated the order of 2% inflation target is aimed at medium and long term goals. He also suggested that easing conducted intensively in the next two years. His advice is contrary to the BOJ's commitment, which already is targeting inflation in just two years. As a result, Kiuchi recommendations rejected by the other council members with a vote of 8-1 absolute. Governor Haruhiko Kuroda is scheduled to hold a press conference within the next few hours.

 

BOJ launched a massive monetary stimulus on the 4th of April. The goal is to double the supply of funds in the next two years by way of encouraging the purchase of government bonds and risky assets. By implication, authority to change the policy orientation of the peg rate to program-based funding, where monetary easing focused on providing money in the economic system. Bank of Japan also do not think the turmoil in the financial markets the last three weeks as the effects of monetary instruments mandulnya. The Board of Governors believes the stability of the financial markets will come back after the economic progress achieved over loose policies that they enforce. Yen exchange rate is currently observed at the level of 98,370 per dollar.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

Yen Weakens Amid More Stimulus Outlook.

Wednesday, June 12, 2013

 

The yen is down about 0.3% against all of its 16 major counterparts as traders speculated the quote that the biggest gain in three years last yen yesterday was too fast given the continued stimulus from the Bank of Japan.

 

Japan's currency weakened for the third time in four days against the dollar after a government report showed that the number of bookings mesih fell more than economists expected, adding the possibility of further measures from the central bank. The dollar rose to a high level in a month against the euro before the release of a report tomorrow forecast retail sales would rise. Meanwhile Australian currency climbed from its lowest level in three years after the level of consumer confidence increased.

 

We begin to see the sentiment back towards "selling" yen, "said Michael Snyed, analyst at BNP Paribas SA in London." Bank of Japan, waiting to see what the implications of the current stimulus will have an impact on the economy. There is always a barrier if that was not enough, they will raise and do more.

 

BNP Paribas predicts that the yen will slip to the level of 100 per dollar in the next month, said Snyed.

[mynameisandhy]

News and Economic Review Zone Asia (Japan)

 

BOJ Governor: Financial Market Turmoil soon subside

Thursday, June 13, 2013

 

Governor of the Bank of Japan, Haruhiko Kuroda, said today that it will continue to ease monetary policy. Head of the Bank of Japan (BOJ) also seeks to ensure that the recent financial market turmoil will subside slowly, according to media reports Nikkei few moments ago.

 

"The BOJ is committed to maintaining monetary policy, both in terms of qualitative and quantitative mengenjot to the domestic economy," Kuroda said after his meeting with Shinzo Abe. The governor had told Abe that immediately calm the financial markets as the emergence of positive signals from various sectors of the Japanese economy.

 

The meeting between the two state officials today held a grand meeting agenda ahead of country leaders group 8. In the event that Abe is expected to re-expose its economic mission to the public and trade partners. The exchange rate observed at the level of 94 304 yen per dollar and the Nikkei spot is 12592.28.

[mynameisandhy]

News and Economic Review Zone Asia (China)

 

China's Poor Bond Auction Liquidity Triggers Fears

Friday, June 14, 2013

 

Chinese government failed to sell all its bonds at an auction on Friday, indicating that tighter cash funds in a slowing economy.

 

The Ministry of Finance reported only managed to offer bonds worth $ 1.5 billion, below target sales, but at the same time central banks are reluctant to pump liquidity in the economy despite the tension signals the banking system.

 

China is tightening financial system is an indication that the government is more tolerean recent slowdown in growth to safeguard against the risk that the economic bubble.