Key news
– G7 meeting focused on Japan and the weak yen.
– Fed’s exit plan is back on the agenda.
– Tax hike likely to weigh on US retail sales today.
Markets Overnight
In connection with the G7 finance ministers’ meeting in the UK this weekend policy makers and central bankers reaffirmed their commitment not to manipulate currencies and that central-bank policy will be focused on domestic objectives only. According to an article on WSJ.com, Bank of Japan’s monetary policy and the weak yen were subject to a lot of discussion. However, while several participants commented on Bank of Japan’s policy, none of the countries actually criticised the bank’s actions and thus the G7 countries once again signalled acceptance of the weak yen.
Click here to read the full report: FX Daily
Danske Bank