- Analytics
- News and Tools
- Market News
- Japan is in a technical recession, not a good outlook for the Yen – Commerzbank
Japan is in a technical recession, not a good outlook for the Yen – Commerzbank
Weak fourth quarter Gross Domestic Product (GDP) figures in Japan complicate the monetary policy outlook for the BoJ. Economists at Commerzbank analyze the implications for the Yen.
Japanese growth figures disappoint
Instead of slightly positive growth compared to the third quarter, the economy contracted again. This means that Japan has slipped into a technical recession in the second half of 2023, as the third quarter also saw negative growth, albeit on a much larger scale. On top of that, the Q3 numbers were revised down a bit more.
As the global economy weakens, the Japanese economy seems to also suffer, except that the BoJ now has much less room to cut interest rates than other central banks. This is not a good outlook for the Yen.
And the Japanese figures underscore another fact: the US economy is out of competition at the moment, i.e. we are seeing a significant slowdown in economic growth in almost all other countries, with US growth being the main standout. That, in turn, is a much better outlook for the US Dollar.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
