Japan Update

• Little Interest in Strong US Dollar at G20 Summit
• March Tourist Arrivals Top 3 million for First Time
• Megabanks Increase BoJ Reserves by 23 trillion in March
• Online Bank to Raise Short-Term Prime Rate
• Will BoJ Reduce JGB Buying at April Meeting?

• MoF Issues Intervention Warnings but Stays Sidelined While Kishida in US
• Japan’s Population Declines for Thirteenth Consecutive Year
• Tokyo Office Vacancy Rate Falls to Three-Year Low
• JGB Traders Sell Short End in Anticipation of Multiple Rate Hikes

• USDJPY: Market on Intervention Watch as Yen Weakens
• BoJ: The Next Rate Hike May Not be So Easy
• March Corporate Price Index Rises 0.8%
• Rent Index Rises for First Time in 25 Years
• March Consumer Confidence Hits Five-Year High

• March Economy Watcher’s Index Lower on Poor Weather, Inflation
• February Real Wages Fall 1.3%
• February Current Account Hits ¥2.6 Trillion
• Weak Yen Has Little Impact on Corporate Profitability
• JGBs Sold on Reduced Prospect for Lower US Rates
• Nippon Express Holdings (9147) to Increase Logistics Centers to Support Semiconductor Manufacturing
• Semiconductor Materials Suppliers Boost Domestic Production

• Ueda Suggests He Is Open to Rate Hike in Fall
• 2-Year JGB Yield Hits 13-Year High
• February Real Consumption Falls 0.5%

• BoJ Unlikely to Raise Rates Despite Weaker Yen

Fukuyama Transporting (9075) to Increase Freight Rates by 10%

• BoJ GDP Gap Turns Positive in October-December 2023 Quarter

LDP to Mete Out Punishments for Fundraising Violations

• Isuzu (7202) to Invest More in ICEs Than in EVs

• BoJ Tankan Disappoints as Manufacturing DI Falls
• Kishida Said to be Considering Harsh Punishment for Scandal
• Regional Banks Raise Interest Rate on Demand Deposits

• BoJ Summary of Opinions Emphasizes Slow, Deliberate Steps to Normalization
• FY 2024 Budget Passes House of Councilors
• Size of Overnight Call Market Declines After NIRP End
• Gasoline Subsidies Remain, Electricity, Town Gas Subsidies End in May
• Kishida Will Announce Punishments for Political Fundraising Scandal Next Week

• USDJPY Hits 34-Year High, BoJ, MoF, FSA Meet, Suzuki Issues Warnings
• BoJ’s Tamura Sees Rates Rising to a “Level Where They Can be Effective”
• Nationwide Land Prices Rise 2.3%, Fastest Increase Since 1991
• February Corporate Service Prices Rise 2.1%
• Is a 2% Inflation Target Too High for Japan?
• Punishments for Illegal Political Fundraising Likely to be Light
• Idemitsu (5019) to Shutter Chiba Ethylene Plant
• Long View: What Happens Now That Nikkei 225 Topped 1989 High?