What a Bank of Japan rate hike would mean for markets around the world

Yahoo Finance -- Dec 08

Comments from Bank of Japan Governor Kazuo Ueda has traders thinking the central bank will be raising rates, ending it's longtime negative rates policy.

Omar Aguilar, Schwab Asset Management CEO & CIO, joins Yahoo Finance to discuss the Japanese economy and how it may impact US investors directly.

Aguilar comments on the BOJ ending their current policy: "It puts pressure on global yields for sure. I think competition for bonds will be there and therefore puts more pressure on US bonds. It clearly provides a very nice potential for a Yen appreciation going forward, because on the flip side as the Bank of Japan is trying to raise rates, we see the rest of the central banks potentially cutting rates so that provides a little bit of a tailwind for an appreciation of the currency in Japan. At the same time, it would potentially put a floor into the potential outperformance of Japanese stocks."


As part of the "Creating the Future from Here" project, TV Asahi is presenting SDGs initiatives on climate change. The theme for Monday's show is "Both Enjoyable Work and Economic Growth," covering an apple orchard that is challenging the future of agriculture with its innovative cultivation method.

Daihatsu Motor Co. has resumed production of ten vehicle models, including its mainstay mini vehicles, at its factory in Oita Prefecture, which had been halted due to an issue with improper certification acquisition. However, the scale of the production resumption, including models for which a plan has been established, remains limited to 40% of Daihatsu's total domestic production, raising concerns about the prolonged impact on suppliers and related businesses.

Taiwanese semiconductor manufacturing giant TSMC's first factory in Japan is set to open today, February 24, in Kumamoto Prefecture.

As the Nikkei reaches historic highs, investors are reminiscent of the last time the market reached such dizzy heights in 1989, the end of an era as Heisei began, marked by the emergence of the Recruit scandal, considered the largest corruption scandal in the post-war era, leading to the formation of a new government led by Prime Minister Takeshita.