According to Bank of America Securities’ recent survey, there’s a likelihood of further weakness in the Japanese yen. This sentiment contrasts with the consistently bullish yen bias observed since mid-2022. Despite Japanese authorities spending nearly $60 billion to bolster the yen, it has returned to trading at ¥155.83 against the dollar. Investors, reacting to USDJPY breaching new highs in April, have shifted to the largest JPY short position since 2022, displaying skepticism about Japan’s FX intervention effectiveness. Most fund managers expect USDJPY to retest ¥160, indicating a lack of anticipation for a reversal to ¥150. However, the sudden shift in sentiment towards JPY suggests caution for short positions in the near term, according to the bank. Published on 17/05/2024 By Michael S.

In six weeks’ time Narendra Modi is expected to win a third term as India’s prime minister, cementing his status as its most important leader since Nehru. The electoral success of this tea-seller’s son reflects his political skill, the potency of his Hindu-nationalist ideology and his erosion of democratic institutions. But it also reflects a sense among ordinary voters and elites that he is bringing India prosperity and power.   Mr Modi’s India is an experiment in how to get richer amid deglobalisation and under strongman leadership. Whether it can grow fast and avoid unrest over the next 10-20 years will shape the fate of 1.4bn people and the world economy. As our special report explains, Mr Modi’s formula is working—up to a point. But there are questions over whether India’s success can last and whether it depends on him remaining in power.   India, the world’s fastest-growing big country, is expanding at an annual rate of 6-7%. New data show private-sector confidence at its highest since 2010. Already the fifth-largest economy, it may rank third by 2027, after America and China. India’s clout

The recent confrontation between Israel and Iran has had a significant impact on global financial markets and investments. Stock markets in Tokyo, Seoul, and Taipei dropped by more than 3%. Hong Kong and Sydney saw declines of over 1%, while Shanghai, Singapore, Wellington, and Jakarta also entered negative territory. The yen strengthened against the dollar, gold prices rose by over 1%, and WTI and Brent oil prices surged by more than 3% due to concerns over Middle Eastern oil supplies. Investors and international financial markets need to closely monitor and be cautious about the developments in this region.

Gold surged to an all-time high as the second quarter began, continuing its upward trajectory fueled by the Federal Reserve’s indication of potential rate cuts and escalating geopolitical conflicts. The price of bullion soared to a peak of US$2,260 per ounce on Monday morning, marking a 1.3% increase from Thursday’s closing price, following a series of record highs in recent trading sessions.

Thailand’s Prime Minister, Mr. Srettha Thavisin, has issued a directive to address the pressing issue of industrial city planning that is impeding investment opportunities in the country. Under his guidance, Ms. Pimpatra Wichaiyakul, the Minister of Industry, has been tasked with convening executives from the Ministry of Industry to devise solutions. Additionally, discussions with the Department of Public Works and Town Planning, under the Ministry of Interior, are underway to overcome these obstacles.   The urgency of this directive stems from the significant increase in investment figures observed throughout 2023. This surge in investment, evident from the rising number of applications received by the Board of Investment (BOI) and the investment figures in the Eastern Economic Corridor (EEC), underscores Thailand’s attractiveness as an investment destination. However, challenges persist in industrial city planning, as highlighted by feedback from numerous investors.   One such investor of notable interest is Tesla, the renowned electric vehicle manufacturer. Following Prime Minister Srettha’s promotional efforts in the United States, Tesla expressed interest in exploring investment opportunities in Thailand. However, Tesla’s stringent requirement of a 2,000-rai plot

Japanese government bond yields increased on reports suggesting the Bank of Japan (BOJ) might exit negative interest rates. The benchmark 10-year JGB yield reached a one-month high at 0.760%. BOJ policymakers are reportedly considering ending negative rates and revising stimulus programs. The BOJ might replace its bond yield control (YCC) with a new quantitative framework. Big Japanese companies are expected to offer significant pay hikes, influencing the timing of BOJ’s exit. Japan’s economy avoided a technical recession, supporting an earlier exit. Market expectations for ending negative rates in March increased after BOJ officials’ comments on inflation targets. The 20-year and 30-year JGB yields also rose to one-month highs

  Bitcoin was trading at $56,772 The move upward pushed Bitcoin’s market cap up to $1,093.4B, or 51.64% of the total cryptocurrency market cap. At its highest, Bitcoin’s market cap was $1,275.5B. Over the past seven days, Bitcoin has seen a rise in value, as it has 7.78%. The volume of Bitcoin traded in the twenty-four hours to the time of writing was $36.7B. Over the past week, Bitcoin has shown a significant increase in value, rising by 7.78% compared to the previous week. This growth highlights Bitcoin’s strong market performance, catching the interest of both investors and observers.  

A division of Goldman Sachs’ transaction-banking business (TxB) has stopped signing on riskier financial technology clients after a warning from the U.S. According to the Financial Times report on Thursday, the Federal Reserve had a discussion about risk and compliance earlier this year. The Fed has raised concerns about the Goldman division’s insufficient due diligence and monitoring processes when accepting high-risk non-bank clients.  

The Singapore labor market is showing signs of slowing down. Total employment grew at a slower rate, and job vacancies dipped for the fourth straight quarter, according to the Ministry of Manpower labor market report for the first quarter of 2023. Retrenchments rose to 3,820, the highest in nine months, with sectors such as electronics manufacturing and financial services being the hardest hit. 70 percent of retrenched Singapore citizens and permanent residents managed to find a new job within six months. The city-state’s job market is likely to toughen further owing to economic uncertainty and global headwinds.

The market awaits a big interest rate decision from the Fed and ECB next week. And keeping an eye on the decisions of other central banks. The Reserve Bank of Australia surprised yesterday by raising interest rates. And today the focus is on the Federal Reserve Bank of Canada. Here are factors investors should consider before making a decision.   The crypto market moved higher this morning.   Updates from the Crypto Market, gain is in the focus.   Bitcoin is trading at $26,000 and Ethereum at $1,800.