Zzzzzzzzzzzzzzzzzzzzzzzzzz Posted February 27, 2006 Share Posted February 27, 2006 Government softening line with bank - http://freeserve.advfn.com/news_Japan-PM-s...s_14367306.html Quote Link to comment Share on other sites More sharing options...
bazzzzzzz Posted February 27, 2006 Share Posted February 27, 2006 Government softening line with bank - http://freeserve.advfn.com/news_Japan-PM-s...s_14367306.html Have I understood the hint correctly-Japan possibly raising interest rates as early as next week? March could prove a very interesting month for our rates: an increase in US rates likely on 28/3 (and all the attendent pressures associated with US rates passing ours) and ECB increases next week could set the tone nicely for the rest of the year. Over the weekend Kaoru Yosano, the economic and fiscal policy minister, saidthat serious deflation was now over and that it was "fine" for the central bank to use its judgement to end its current policy if the conditions are met. That raised market expectations that the Bank of Japan will start mopping up excess liquidity in the financial system by April and possibly even as soon as its meeting next week. Quote Link to comment Share on other sites More sharing options...
Realistbear Posted February 27, 2006 Share Posted February 27, 2006 IMHO the UK is hyper IR sensitive given the amount of debt that is being funded. We should not underestimate the impact of a .25% rate in Japan as the knock-on effect through the wholesale markets will be quite dramatic. I agree that the psychological and actual impact of the US moving ahead of the B o E in March will be interesting. The worldwide trend in IR is up and nothing works like tightening credit on inflated markets. The next hike may resemble a long and very sharp needle. Quote Link to comment Share on other sites More sharing options...
karhu Posted February 27, 2006 Share Posted February 27, 2006 Japanese stocks have had a rollercoaster ride this year, as foreign investors have fretted about what will happen to corporate profits when the Bank of Japan breaks the habit of six years by raising interest rates above zero, which observers expect to happen this year.Analysts inside and outside the country do not want the BoJ to be too trigger-happy. They remember 2000, when the bank helped to nip a nascent recovery in the bud by a premature tightening of monetary policy - a decision that left share prices as well as the economy languishing for another few years. https://registration.ft.com/registration/ba...00779e2340.html The rest of this article is subscription only. Quote Link to comment Share on other sites More sharing options...
Flick Posted February 27, 2006 Share Posted February 27, 2006 Probably a daft question, but if the interest rate is 0%, whats the rate on a mortage, and can you get interest only? Quote Link to comment Share on other sites More sharing options...
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