
Hi, and welcome to the daily newsletter by FBS. The market is active, and we have plenty to share with you!
Japan's attempts to meet its inflation objective have been heavily affected by slow wage surge as well as intensifying global trade frictions. Furthermore, the country’s cabinet is currently facing headwinds from plans by the Japanese number one mobile phone carrier to have fees reduced.
On Wednesday, NTT Docomo Inc told that it would reduce mobile fees by approximately 40% in the April-June quarter of 2019, reacting to the cabinet’s criticism that fees are extremely high because of a lack of competition in the sector.
Other dominant carriers, including SoftBank Group Corp and KDDI Corp could follow suit that could potentially add to the BOJ’s troubles as it’s still difficult for the institution to meet its 2% inflation objective.
NTT Docomo's announcement showed up the same day Japan’s key bank cut its inflation estimates and warned that global uncertainties as well as the public's sticky deflationary mindset might suggest it would take some time to meet its ambitious inflation objective.
The internal affairs ministry, complying the consumer price index, told that a 40% slip in mobile fees by the key carriers could speed down core consumer inflation by approximately 0.96%. By the way, Japan's CPI data includes up to 585 items, such as mobile charges, making up 2.4% of core CPI.
While the actual fee cuts as well as the influence on CPI might appear to be smaller than the ministry's forecasts, the deflationary effect might push inflation away from the major bank’s 2% objective.
Other experts tell that while fee reductions might put pressure on inflation in the short-term, but they could speed up price surge if customers spur spending on other items.
In addition to this, in September, Japan's core consumer prices managed to ascend by 0.7% from 2017, mostly powered by higher energy costs.
Hi, and welcome to the daily newsletter by FBS. The market is active, and we have plenty to share with you!
Greetings! Let’s start the week together. First, significant events. Second, daily news. Everything you need to know in a single post. Enjoy!
Today, the US Inflation release at 15:30 GMT+3 will determine the further destiny of the major pairs and gold. The event is highly impactful, as the Federal Reserve will make decisions regarding further rate hikes based on it. Also, we brought you some news about XAUUSD and GBPUSD. Stay tuned!
US stock markets started falling, while the US dollar is rising. What to expect from
Oil prices are rising and Russia banned the export of its petrol. What's happening in the markets?
Today's main event for the markets is the FOMC Interest Rate Decision, where the US regulator is widely expected to keep the interest rate at the same level of 5.5%.
FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.
Your request is accepted.
A manager will call you shortly.
Next callback request for this phone number
will be available in
If you have an urgent issue please contact us via
Live chat
Internal error. Please try again later
Don’t waste your time – keep track of how NFP affects the US dollar and profit!