On Monday (December 11),breaking news in the early morning of the European City, the short -term USD/yen suddenly soared more than 100 points. The currency currently traded around 146.40, rising nearly 1%within the day.According to media reports, the People's Bank of China believes that there is almost no need to end the negative interest rate policy in December, which makes the yen under pressure.
(USD/Japanese yen 5 -minute picture Source: FX168)
Promoted by the rapid rise of the US dollar/yen, the US dollar index also jumped and is currently located near 104.20.The spot gold has fallen sharply, and the price of gold is approaching $ 1990/ounce.
(5 minutes of the US dollar index source: fx168)
(Spot gold 5 -minute picture Source: FX168)
Bloomberg reported on Monday that according to people familiar with the matter, the central bank officials believed that there was almost no need to end the negative interest rate policy this month because they had not seen evidence of wage growth enough to support sustainable inflation.
(Screenshot source: Bloomberg)
Although the market has recently speculated that the Bank of Japan may cancel negative interest rates as early as the December meeting, Bloomberg reported that the Bank of Japan may maintain its currency stimulus policy at a two -day policy meeting that ended on December 19.
People familiar with the matter said that the central bank officials believe that the potential costs paid by more information to confirm the strong salary growth are not very high.
People familiar with the matter said that the Bank of Japan will make the final policy decision after evaluating all available data from now to making decisions.These data include Tankan Survey, which are scheduled to be released on Wednesday, and the financial market conditions as of the last moment.
The Bank of Japan used the expectations of unchanged interest rates in July and December last year, which surprised economists and market participants.
Kazuo Ueda, president of the Bank of Japan, said last week that starting from the end of the year, his work will become more challenging, which triggers investors' guessing normalization of the policy.
Bloomberg reported that people familiar with the matter said that the Central Bank official believes that the remarks of Shitian and men are just a general statement, not a signal that the policy is about to change.
After the Bank of Japan adjusted its yield curve control (YCC) mechanism in July and October, the fate of zero interest rates has become a key issue for the attention of the Observer of the Bank of Japan.