South China Morning Post (September 17)
“What is clear is that while the US is putting pressure on Japanese monetary policy, Japan could end up putting global markets under more strain.” Aside from undermining the Bank of Japan’s credibility, the outside pressure could “cause the yen carry trade… to unwind,” leaving especially exposed “technology-heavy stock markets such as South Korea and Taiwan.” Moreover the “higher Japanese bond yields could draw capital away from the US Treasury market, which is already under pressure because of the Fed’s hawkish pivot.”
Tags: BOJ, Bond yields, Carry trade, Clear, Credibility, Exposed, Fed, Global markets, Japan, Monetary policy, Pressure, South Korea, Strain, Taiwan, U.S., Undermining, Unwind, Yen
Reuters (July 1)
“One way of looking at the euro zone is as a forest where dry tinder is piling up. The locals are not doing much to clear the debris, and some are wandering around with naked flames. But they know it would be foolish to throw lit matches on the forest floor.” There are rising risks of a new euro crisis, “but the conditions are probably not ripe to trigger one yet.”
Tags: Clear, Conditions, Debris, Dry tinder, Euro crisis, Flames, Foolish, Forest, https://www.reuters.com/breakingviews/risk-euro-crisis-is-rising-2024-07-01/ Euro zone, Locals, Matches, Rising risks, Trigger
Barron’s (January 24)
“The continued slide in Chinese stocks toward lows set more than a decade ago may be mobilizing Beijing’s policymakers into action. But it isn’t clear if it will be enough to help the country’s embattled economy or improve sentiment in a meaningful way.”
Tags: Action, Beijing, China, Clear, Economy, Embattled, Lows, Meaningful, Mobilizing, Policymakers, Sentiment, Slide, Stocks
