Asian assets are attempting to break away from the path of investing in the US dollar

By: keiko

For decades, Asia’s export powerhouses have followed a simple financial strategy: sell goods to the United States and then invest the proceeds in US assets. As Donald Trump attempts to reshape global trade and the US economy, upending the logic behind the $7.5 trillion in investment in Asia, this model is now facing its biggest […]

The Bank of Japan: Still considering further interest rate hikes

By: keiko

Kazuo Ueda, the governor of the Bank of Japan, made it clear that if the economy improves as expected, he will continue to raise the benchmark interest rate. This move has boosted the yen. Ueda said at an international conference hosted by the Bank of Japan in Tokyo that “we will adjust the degree of […]

Goldman Sachs: RMB appreciation may support China’s stock market

By: keiko

Goldman Sachs strategists said that further appreciation of the renminbi is expected to benefit China’s stock market, as the renminbi has shown resilience amid the Sino-US trade dispute. Goldman Sachs strategists wrote in a report on Monday that every 1% appreciation of the renminbi against the US dollar could boost China’s stock market by 3%, […]

Japan’s finance minister hopes to discuss the exchange rate issue again. The US and Japanese markets hit their lowest points this week in the Asian session

By: keiko

Japanese Finance Minister Katsunobu Kato said he will seek another meeting with US Treasury Secretary Janet Yellen next week to discuss currency issues and build on last month’s dialogue. “We confirm that exchange rates should be determined by the market, and excessive volatility may harm economic and financial stability,” Kato said at a press conference […]

UBS: Japan’s wealthy class is not optimistic about the yen

By: keiko

According to informed sources, US officials seeking to negotiate global trade agreements have not made efforts to incorporate monetary policy commitments into the agreements. The foreign exchange market is on edge amid concerns that President Donald Trump’s administration is seeking to devalue the US dollar and may use trade negotiations to achieve that goal. On […]