TOKYO, Dec 19 (Reuters) – Japan next year will consider revising its decade-old blueprint for fighting deflation, sources said, as financial markets bet that a weak yen and rising consumer prices will force the central bank to finally drop its ultra-loose monetary policy.
The government could initiate the revision after a new Bank of Japan (BOJ) governor is appointed in April, they said, a move that may heighten the chance of a tweak to incumbent governor Haruhiko Kuroda’s ultra-loose monetary policy.
Full coverage: REUTERS
Chinese Business Confidence Falls To Lowest In Almost A Decade On COVID
BEIJING, Dec 19 (Reuters) – China’s business confidence fell to its lowest since January 2013, a survey by World Economics showed on Monday, reflecting the impact of surging COVID-19 cases on economic activity with the abrupt lifting of many pandemic control measures.
The index fell to 48.1 in December from 51.8 in November, showed the World Economics’ survey of sales managers at over 2,300 companies conducted Dec. 1-16. The index was the lowest since the survey began in 2013.
Full coverage: REUTERS
Oil Rises As China Recovery , U.S. Buyback Plan Brighten Outlook
SINGAPORE, Dec 19 (Reuters) – Oil rose on Monday as the prospect of demand recovery, led by China’s loosening of COVID-19 curbs and the United States’ decision to buy back oil for its state reserves, gained the upper hand over global recession fears.
Brent crude futures gained 42 cents, or 0.5%, to $79.46 a barrel by 0753 GMT while U.S. West Texas Intermediate crude was at $74.67, up 38 cents, or 0.5%.
Both benchmarks plunged more than $2 a barrel last Friday, following hawkish remarks from U.S. and European central banks on interest rate hikes that sparked worries of possible recession.
Full coverage: REUTERS
Turnover Surges As Funds Rush To Exit Private Equity Stakes
SINGAPORE, Dec 19 (Reuters) – Private equity holdings are being sold at a record clip in an opaque secondary market, investors say, as asset managers cash out to cover losses elsewhere and rebalance portfolios.
The wave of selling is the latest of several signs of stress in private markets and is another signal of investors starting to fall out of love with “alternative assets” that only recently were drawing in cash.
Conceived as an illiquid but lucrative method of accessing unlisted companies, private investments are typically structured into funds run by buyout firms. As they have become popular, they have expanded to encompass property and infrastructure projects.
Full coverage: REUTERS
Morning Bid: No Messi Magic For Markets
A look at the day ahead in European and global markets from Anshuman Daga.
Soccer fans enjoyed an extraordinary final of the World Cup on Sunday as high emotion and intense drama gave way to Lionel Messi leading Argentina to victory against France in a penalty shootout.
Global markets are devoid of any such drama as investors hunker down ahead of interest rate hikes by the world’s top central banks and reconcile with weak economic growth.
Full coverage: REUTERS
