Another Bank of Japan official reinforces a dovish stance: it is necessary to patiently maintain loose monetary policy.
A key dove official of the Bank of Japan Policy Board emphasized the need to maintain an accommodative monetary environment until inflation expectations are anchored, reinforcing the Bank of Japan's stance of not tightening policy prematurely.
Bank of England Governor said there may be a more proactive interest rate cut.
Bank of England Governor Bailey said in an interview that if there are further good news on the inflation front, the Bank of England may cut interest rates more quickly, but Middle East conflicts could push up oil prices. He added that the Bank of England could become "more proactive" in the way it cuts interest rates. Following the first rate cut in four years in August, the Bank of England's benchmark interest rate is currently at 5%. The Bank of England kept rates unchanged last month, but investors expect the bank to cut rates by another 25 basis points at its meeting in November. Bailey said that despite the risks posed by the situation in the Middle East, evidence shows that inflation pressures are not as worrisome to the Bank of England as previously believed.
Japan's new prime minister has just taken office and turned dovish? Mentioned that it is not suitable now to further raise interest rates, the yen fell nearly 2% at one point.
Commentators say that this is the clearest stance Shinzo Abe has taken against further rate hikes to apparently break away from his hawkish monetary policy reputation. Analysts say this encourages investors to rebuild short positions on the Japanese yen. Following the first meeting with Shinzo Abe, Bank of Japan Governor Haruhiko Kuroda stated that the central bank is supporting the economy through loose monetary conditions and will be cautious in deciding whether to raise rates further.
Technical analysis of USD/JPY, EUR/USD, and British Pound/JPY this week.
The dollar/yen experienced a V-shaped reversal and rose; the Eurozone CPI preview value is highly anticipated, with the Euro/dollar below 1.1200; the British pound/yen regained lost ground.
United Kingdom's economy growth in the second quarter slowed to 0.5%, lower than expected. Market confidence declined to 0.3%.
The United Kingdom's economy grew by 0.5% in the second quarter, lower than the expected 0.6%, indicating that the momentum of economic growth is weakening after the Labor Party government took office.
United Kingdom's economic growth has been downwardly revised, posing a blow to Prime Minister Starmer.
The growth rate of the United Kingdom's economy in the second quarter was slower than expected, indicating that with the Labour Party coming to power, the process of economic recovery from recession has lost momentum. The UK Office for National Statistics announced on Monday that the country's gross domestic product grew by 0.5% in the second quarter, below the initial 0.6%. GDP grew by 0.7% in the first quarter. Economists had not expected an adjustment. These figures are a blow to Prime Minister Keir Starmer, who hoped to fulfill his promises to improve public services through economic growth. Starmer has pledged to increase the economic growth rate to 2.5%, far above the levels seen since the financial crisis and the pre-
