BoJ may indicate underlying inflation is near the 2% target, sources say

The Bank of Japan (BoJ) could indicate later this month that underlying inflation has reached nearly its 2% target, according to three sources familiar with the central bank’s thinking. Such a signal would underscore the BoJ’s willingness to resume raising interest rates in the coming months. While the announcement would be largely symbolic, it could strengthen market expectations for…

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Australian Dollar holds steady amid soft consumer sentiment

AUD/USD remains steady after two days of gains, trading around 0.6970 during Asian hours on Tuesday. The currency pair is hovering in a tight range as the Australian Dollar (AUD) finds support despite local economic headwinds. The Westpac–Melbourne Institute Consumer Sentiment Index dropped 4.7% month-over-month in October, marking its second consecutive monthly drop, though it showed a minor improvement…

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US Treasury yields scale multi-year highs as inflation fears return

US Treasury yields edged up at the beginning of the week, with the 30- and 10-year yields reaching multi-year highs as inflation expectations rose, as shown in a US Institute for Supply Management (ISM) survey indicating that business activity in the services sector slowed while input prices surged. Rising input prices and France’s fiscal woes push global borrowing costs…

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