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According to Odaily, former Deputy Governor of the Bank of Japan and government policy panel member Masazumi Wakatabe stated, "Japan must raise its neutral interest rate through fiscal policy and growth strategies. If Japan's neutral interest rate rises due to fiscal policy, it would be natural for the Bank of Japan to raise interest rates. However, at present, the Bank of Japan should avoid raising rates too early or excessively tightening monetary policy." Analyst Justin Low expressed reservations about this comment, noting that Wakatabe is a member of the government panel appointed by Japanese Prime Minister Sanae Takaichi. Therefore, his remarks and stance are aligned with the government and appear to oppose the Bank of Japan's intention to raise rates later this week. (Golden Ten Data)

Analysis: Weakening US Employment Data May Prompt the Federal Reserve to Cut Rates Earlier Next Year 2025-12-17 05:42 BlockBeats news, December 17, the Canadian Imperial Bank of Commerce pointed out that non-farm payroll data reflects a further weakening of the US labor market. On the other hand, more resilient consumption indicates that demand conditions remain quite favorable. Overall, this may prompt Federal Reserve policymakers who dissented at the last meeting to reassess their positions, increasing the likelihood of an early rate cut in 2026. That said, Goolsbee and Schmid were the two main dissenters who advocated keeping rates unchanged last week, but next year they will step down from their voting seats, likely to be replaced by Harker and Logan, who may be more hawkish. Therefore, changing their minds and making them more determined to cut rates will be a challenging task. However, a cooling labor market will continue to weaken their resolve, as the balance of data evidence undermines the Federal Reserve's rationale for maintaining current rates. As a result, the likelihood of the Federal Reserve easing monetary policy earlier in 2026 is increasing. (Golden Ten Data) Report Correction/Report This platform has now fully integrated the Farcaster protocol. If you already have a Farcaster account, you can log in to post comments