Japanese GDP Q4 Shrinks by -0.1%, Monetary Policy Likely to Ease

One Million Trade - 2024-02-14 23:50:00

Based on the provided macroeconomic data, the GDP (QoQ) in Japan for Q4 was expected to increase by 0.2%, but the actual data showed a decline of -0.1%. This indicates that the Japanese economy did not perform as well as anticipated.

In terms of monetary policy, it is not explicitly mentioned in the given data. However, a decrease in GDP growth suggests that the central bank might adopt an accommodative monetary policy to stimulate economic activity.

Regarding inflation targets, there is no specific information provided in the given data. However, the negative GDP growth suggests that there might be a risk of deflation in the economy, which could prompt policymakers to take measures to prevent it.

Considering the above analysis, the sentiment on the Japanese yen (JPY) is likely to be negative. The lower-than-expected GDP growth indicates a weaker economy, which may discourage investors and lead to a decrease in demand for the currency.