WS #16561
The BOJ's Governor Ueda has reinforced a hawkish stance, noting that ultra-loose policy is failing to generate sufficient inflation, which adds monetary tightening risk to the global macro backdrop. This comes as the French economy contracts by 0.1% in Q3 and Japan faces renewed yen weakness due to low interest rates and rising oil costs. The combination of slowing growth and potential tightening creates a difficult environment for global equities.
Global Monetary Policy and Macro Headwinds
The BOJ's Governor Ueda has reinforced a hawkish stance, noting that ultra-loose policy is failing to generate sufficient inflation, which adds monetary tightening risk to the global macro backdrop. This comes as the French economy contracts by 0.1% in Q3 and Japan faces renewed yen weakness due to low interest rates and rising oil costs. The combination of slowing growth and potential tightening creates a difficult environment for global equities.