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  • 2019-05-29 03:55

    TOKYO (MNI) - The Bank of Japan said Wednesday its net profit fell to Y586.9 billion in fiscal 2018 to March 31, down from a profit of Y764.7 billion in the previous fiscal year, weighed by an increased provision for possible losses on bonds and foreign exchange transactions.

    In fiscal 2018, gains stemming from holding foreign currency assets totaled Y225.7 billion, reversing a loss of Y211.9 billion in fiscal 2017, largely due to the yen's weakness against the dollar.

    At the end of March, dollar-yen stood at Y110.85, up from Y106.27 a year before, while the euro-yen exchange rate fell to Y124.35 from Y130.95.

    In fiscal 2018, the BOJ increased its bond loss reserves by Y815.4 billion to insure against losses from holding sizeable amounts of JGBs as the large-scale m

  • 2019-05-28 23:04

    TOKYO (MNI) - Central banks in advanced economies have real difficulty attaining their 2% inflation targets and solidly anchor inflation expectations in the medium and long term, former European Central Ban president Jean-Claude Trichet said Wednesday.

    "Many reasons have been listed to explain such a situation, including intensifying global competition, weak demographics, mediocre years increase of total factor productivity (TFP) contributing to abnormally weak real growth," Trichet told the 2019 Bank of Japan/Institute for Monetary and Economic Studies Conference.

    "Japan is a case in point amongst major advance economies.

  • 2019-05-28 21:19

    TOKYO (MNI) - Bank of Japan Governor Haruhiko Kuroda voiced concern Wednesday over the adverse impact sluggish inflation and low interest rates in advanced economies is having on emerging and developing economies.

    Sluggish inflation developments and low interest rates "in advanced economies could amplify capital flows into emerging and developing economies where inflation and interest rates tend to be higher," Kuroda told the 2019 BOJ/Institute for Monetary and Economics Studies Conference.

    However, Kuroda warned, "They also carry the risk of economic disruptions such as a sudden outflow of capital or losses by borrowers due to exchange rate fluctuations."

    "Recently there has been a growing awareness among developing and advanced economies of the potential adverse i

  • 2019-05-28 13:50

    --Repeating Story Initially Transmitted at 11:11 AM ET Tuesday

    WASHINGTON (MNI) - The U.S. growth rate would be higher and inflation lower if government statistics adequately captured the digital domination of the modern economy, Philadelphia Federal Reserve Bank emeritus economist Leonard Nakamura said in an interview this month, arguing that this could mean that current interest rates are significantly too high.

    Even as Google, smartphones and social media have transformed the world over the past dozen years, U.S. growth has failed to register even 2% on average.

  • 2019-05-28 05:10

    By Greg Quinn

    OTTAWA (MNI) - Canada's economy probably grew fast enough in the first quarter to push back the need for talk of lower interest rates from the central bank.

    Gross domestic product expanded at a 0.8% annualized pace between January and March, according to economists surveyed by MNI. That would be faster than the Bank of Canada's April estimate of 0.3%, and the fourth-quarter reading of 0.4%, giving policy makers reason to see the economy as regaining momentum.

    Investors will scan the report for clues to the second quarter, when growth is poised to pick up further on record job creation and signs that housing markets and oil exports have stabilized.

  • 2019-05-27 04:21

    BEIJING (MNI) - The People's Bank of China (PBOC), China's central bank, said on Sunday it will use open market operations and other tools to ensure "reasonable and ample liquidity" to deal with any potential impact after taking over a failing small domestic lender.

    Authorities seized the Inner Mongolia-based Baoshang Bank after learning it posed serious credit risks, and the China Construction Bank (CCB) is entrusted to manage its business operations, the central bank said.

    The takeover by the top regulators ensures that the Baoshang Bank maintains a national-level credit standing, the PBOC said.

    Personal savings as well as corporate deposits and interbank liabilities below CNY50 million held by Baoshang Bank will be covered by the PBOC, the China Banking and Insur

  • 2019-05-24 06:57

    --Brexit Uncertainty Weakens Retailers' Investment Intentions

    LONDON (MNI) - Retail sales volumes contracted in May following last month's Easter euphoria, according to the CBI Distributive Trades Survey, published Friday.

    --Retail sales volumes declined to -27 in May, the fastest pace of decline since

    October 2017, following Easter-led growth of +13 in April.

    --Expectations for sales turn positive in June.
    --Orders placed on suppliers in the year to May also fell at their fastest pace

    in 19 months but were expected to contract again next month, albeit at a slower pace.

    --Non-store retailing was the only sub-sector that reported growth.
    --The quarterly survey showcased a more dismal business environment for


    --Year-ahead investment intentions hit a record low, amid uncertai

  • 2019-05-24 05:01

    By Shaily Mittal and Laurie Laird

    LONDON (MNI) - Retail sales volumes remained steady in April, far exceeding expectations of a retreat after an unusually-strong showing in March.

    The following are the key points from UK Retail Sales data published Friday by the Office for National Statistics.

    - Brexit uncertainty has failed to discourage the UK consumer. Retail sales volumes were unchanged between March and April, far exceeding expections of a 0.8% fall.

    - Unusually-strong sales in March were revised even higher, rising by 1.2% over April.

  • 2019-05-23 08:44

    By Greg Quinn

    OTTAWA (MNI) - Canadian wholesale sales rose 1.4% to C$64.1 billion in March, a fourth straight increase and the fastest pace in two years, with gains across most sectors led by building supplies.

    The gain reported by Statistics Canada Thursday was faster than the estimates of 0.8% from Bank of Montreal and 1.1% from CIBC. However, the solid March gain followed downward revisions in both January and February. Statistics Canada lowered its estimate for February sales to a 0.2% gain from 0.3%, and for January to 0.3% from 0.4%.

    Here are some other key takeaways from the data released Thursday:

    - Six of seven major industries reported gains in March, including a 4.5% rise in building materials and supplies that followed a 5.0% decline in February.

  • 2019-05-22 08:43

    By Greg Quinn

    OTTAWA (MNI) - Canadian retail sales increased in March for the second consecutive month, up a softer-than-expected 1.1% to C$51.3 billion, led by a 6.0% price-related rise in gasoline sales. The March gain was the biggest increase in total sales since May 2018 and followed an upward revision in March to a 1.0% gain from the 0.8% rise previously reported.

    Analysts in an MNI survey had expected a 1.2% gain.

    The following are the other key points from the March data on retail sales released Wednesday by Statistics Canada:

    - Retail sales excluding motor vehicles and parts were up 1.7%, faster than the MNI expected gain of 1.4%.

    - Excluding price changes, sales in volume terms rose 0.3% in March.