- The Bank of Japan stood pat on interest rates, as expected, and cut its inflation forecasts as an exit of a loose monetary policy now looks much further off.
- The bank voted 7-2 in favor of keeping short-term rates at -0.1%, with long-term rates around zero.
- It says Japan's economy will continue to expand at a "moderate" pace, but fallout from a trade war between Japan's two biggest partners -- China and the U.S. -- is raising concerns.
- The bank has cut its forecast for core consumer inflation in the coming fiscal year to 0.9% from 1.4% amid falling crude prices.
- That central banking news followed data showing weak trade growth, with Japan's exports falling by 3.8%, its biggest drop in two years. The result disappointed those expecting just a 1.8% decline. Imports also fell short, with a 1.9% Y/Y gain vs. consensus 3.7%.
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- Now read: Weekly Closed-End Fund Roundup: Rebound Continues
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