Politics
Japan May Move to Managing Yields, Not Yen, Deutsche Bank Says
Key Points
Japan May Move to Managing Yields, Not Yen, Deutsche Bank Says Japan may have to shift its focus from supporting the yen toward controlling government bond yields if it is to achieve its ambitious economic growth plans, according to Deutsche Bank AG. The $2.3 trillion growth strategy unveiled late last month by Prime Minister Sanae Takaichi puts Japan “at the precipice of a very significant shift in fiscal and industrial policy,” strategist Mallika Sachdeva wrote in a note. “It will have to...
Japan May Move to Managing Yields, Not Yen, Deutsche Bank Says
Japan may have to shift its focus from supporting the yen toward controlling government bond yields if it is to achieve its ambitious economic growth plans, according to Deutsche Bank AG.
The $2.3 trillion growth strategy unveiled late last month by Prime Minister Sanae Takaichi puts Japan “at the precipice of a very significant shift in fiscal and industrial policy,” strategist Mallika Sachdeva wrote in a note. “It will have to find room to spend while maintaining fiscal sustainability.”