[Economic column]
2022-04-17 00:44:00
On April 13, the yen exchange rate fell to the 126 yen level per dollar for the first time in about 20 years. The background is the difference in the direction of monetary policy between Japan and the United States. The United States is poised to accelerate rate hikes to curb inflation, and Japan is persistently continuing strong monetary easing to support the economy. If this composition does not change, the interest rate differential between Japan and the United States is expected to widen, so the main scenario of the market is that the yen will depreciate further. As soon as I thought so, I heard a story that I was curious about. "American inflation is at its peak." If true, the impact is not limited to the yen, but extends to the entire market, including stocks. What does that mean? (Hiroshi Nakazawa, Reporter, Ministry of Economic Affairs)
