Economic news(2024/09/12)
European Central Bank further cuts interest rates by 0.25%, first cut in two meetings
2024-09-12 21:48:00
The European Central Bank, which oversees the monetary policy of the 20 eurozone countries including Germany and France, held a board meeting on the 12th and decided to further cut interest rates. The policy interest rate, which is the interest rate on deposits from financial institutions, will be reduced by 0.25%. At its meeting in June this year, the ECB decided to cut interest rates for the first time in 4 years and 9 months, and this will be the first interest rate cut in two meetings. The growth rate of the eurozone's consumer price index in August was 2.2% compared to the same month last year, the lowest level in about three years, and there was speculation in the market that the ECB would decide on further interest rate cuts in light of the declining trend in inflation rates.
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Sogo and Seibu to not close 10 stores nationwide for the time being, maintain jobs at Ikebukuro main store
2024-09-12 20:38:00
Sogo Seibu, a major department store chain that has become a subsidiary of an American investment fund, has announced a business plan to strengthen sales of branded goods and cosmetics at the Seibu Ikebukuro main store, which is currently undergoing renovation work. In addition, the company has revealed that it plans to streamline operations at its 10 stores nationwide and will not close any stores for the time being.
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Yen falls by more than 1 yen as Fed considers no major rate cut
2024-09-12 18:23:00
On the 12th, the yen fell by more than 1 yen on the Tokyo foreign exchange market.
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Ricoh to offer voluntary retirement to around 2,000 employees as it anticipates a shrinking multifunction printer market
2024-09-12 17:52:00
Ricoh, a major precision equipment manufacturer, has announced that it will be accepting voluntary retirement applications from approximately 2,000 employees in Japan and overseas by March of next year. The company says that this is part of a business restructuring to focus on digital-related products amid a shift toward paperless systems and a decline in demand for multifunction copiers.
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Council on the Basic Energy Plan: "The government should provide intensive support for energy conservation, etc."
2024-09-12 17:29:00
A council of experts met on the 12th in preparation for revising the country's Basic Energy Plan, and opinions were expressed including that in order to reduce greenhouse gas emissions, the government needs to provide intensive support for the development of energy-saving technologies and the spread of new energy sources.
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Bank of Japan Commissioner Tamura: "Policy interest rates need to be gradually raised to around 1%"
2024-09-12 16:52:00
On the 12th, Tamura Naoki, a member of the Bank of Japan's Board of Directors involved in deciding monetary policy, gave a speech in Okayama City, stating that there is a risk that price increases will exceed expectations in the future, and expressed the view that in order to stabilize prices, it is necessary to gradually raise the policy interest rate to at least around 1%.
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Ricoh to offer voluntary retirement to around 2,000 employees as it anticipates a shrinking multifunction printer market
2024-09-12 16:50:00
Ricoh, a major precision equipment manufacturer, has announced that it will be soliciting voluntary retirements from approximately 2,000 employees both in Japan and overseas by March of next year. This represents just over 2% of its workforce both in Japan and overseas, and approximately 1,000 employees in Japan will be soliciting voluntary retirements between October 1st and the end of February of next year. The company predicts a shrinking multifunction printer market and plans to focus on businesses related to DX (digital transformation), and says that the resignation is part of a business restructuring effort.
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Kirin HD "TOB for FANCL completed" to become wholly owned subsidiary
2024-09-12 16:39:00
Kirin Holdings, a major beverage manufacturer, announced that its tender offer for Fancl, a cosmetics company, has been successful. The company plans to make Fancl a wholly owned subsidiary by the end of the year, with the aim of expanding its cosmetics and health foods business overseas.
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Nippon Steel executives meet with U.S. government officials to seek approval for U.S. Steel acquisition
2024-09-12 16:37:00
Amid speculation that President Biden will block Nippon Steel's plan to acquire U.S. Steel, a major American steel manufacturer, executives of Nippon Steel met with senior U.S. government officials on the 11th. They are believed to have sought understanding for approving the acquisition.
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Stock prices rise by more than 1,200 yen. Stock prices rise in the U.S., and the weak yen leads to an across-the-board rise.
2024-09-12 16:09:00
On the 12th, the Tokyo stock market saw an across-the-board rise in stock prices following rising stock prices in the US and the weakening of the yen, with the Nikkei average rising by more than 1,200 yen.
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JR Freight resumes all freight train operations; inspection reveals 67 more freight cars with irregularities
2024-09-12 16:06:00
JR Freight resumed all freight train operations that were temporarily suspended on the 11th due to the issue of falsifying data and other irregularities in the installation of axles on freight train wheels by noon on the 12th. Meanwhile, as a result of further inspections, irregularities have been found in 67 more cars.
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Bank of Japan Commissioner Tamura: "Policy interest rates need to be raised to at least 1%"
2024-09-12 12:25:00
Naoki Tamura, a member of the Bank of Japan's monetary policy committee who is involved in deciding monetary policy, gave a speech in Okayama City on the 12th in which he stated that there is a risk that price increases will exceed expectations in the future, and expressed the view that in order to stabilize prices, it is necessary to gradually raise the policy interest rate to at least around 1%.
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Stock price temporarily rises by more than 1,200 yen. Buying orders in response to rising stock prices in the New York market.
2024-09-12 12:19:00
Following the rise in stock prices on the Tokyo stock market on the 12th and on the New York market on the 11th, buy orders spread immediately after trading began, and the Nikkei average temporarily rose by more than 1,200 yen.
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Nippon Steel executives meet with U.S. government officials to seek approval for U.S. Steel acquisition
2024-09-12 12:11:00
Amid speculation that President Biden will block Nippon Steel's plan to acquire U.S. Steel, a major American steel manufacturer, executives of Nippon Steel met with senior U.S. government officials on the 11th. They are believed to have sought understanding for approving the acquisition.
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Corporate Price Index in August increased 2.5% year-on-year, growth rate decreased from the previous month
2024-09-12 11:32:00
The Corporate Price Index, which indicates the prices of goods traded between companies, rose 2.5% in August compared to the same month last year, but the rate of increase slowed compared to the previous month.
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Large enterprise business confidence index: +5.1 points from July to September, up for the second consecutive quarter
2024-09-12 11:09:00
According to the Corporate Economic Forecast Survey released by the Ministry of Finance and others, due to increasing demand for semiconductors in the manufacturing industry, the index showing the business outlook of large companies from July this year to this month has increased for two consecutive periods.
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Stock price temporarily rises by more than 1,200 yen. Buying orders in response to rising stock prices in the New York market.
2024-09-12 10:27:00
On the 12th, following the rise in stock prices on the New York market on the 11th, buying orders spread immediately after trading began on the Tokyo stock market, and the Nikkei average temporarily rose by more than 1,200 yen.
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Japan Business Federation and foreign business associations send joint letter to US government over US Steel acquisition plan
2024-09-12 09:56:00
Amid speculation that President Biden will block Nippon Steel's plan to acquire U.S. Steel, a major American steel manufacturer, the Japan Business Federation and economic organizations made up of foreign companies and others have jointly issued a letter to Treasury Secretary Janet Yellen expressing concern about political pressure.
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Corporate Price Index in August increased 2.5% year-on-year, growth rate decreased from the previous month
2024-09-12 09:38:00
The Corporate Price Index, which shows the prices of goods traded between companies, rose 2.5% in August compared to the same month last year. The growth rate slowed from 3.0% in July.
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Large enterprise business confidence index: +5.1 points from July to September, up for the second consecutive quarter
2024-09-12 09:23:00
According to the "Corporate Economic Outlook Survey" released by the Ministry of Finance and other organizations, the index showing the business confidence of large companies from July this year to this month was up 5.1 points, marking the second consecutive quarter of positive growth. The manufacturing industry was up 4.5 points, and the non-manufacturing industry was up 5.4 points.
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Stock prices rise by more than 1,100 yen at one point as optimism grows for the U.S. economy
2024-09-12 09:20:00
On the 12th, the Nikkei Stock Average rose by more than 1,100 yen at one point on the Tokyo Stock Exchange. On the 11th, the CEO of Nvidia, a major American semiconductor company, gave a bullish outlook for demand for semiconductors for AI, and all major stock indexes on the New York Stock Exchange, including the Nasdaq, which has many tech-related stocks, rose. In response to this, optimism about the future of the American economy spread in the Tokyo market on the 12th, and buy orders for a wide range of stocks increased immediately after trading began, causing stock prices to rise.
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JR Freight temporarily suspends all freight train operations; logistics companies also experience delays to freight
2024-09-12 05:36:00
JR Freight temporarily suspended all freight train operations on the 11th after discovering 300 more cars that could not be checked for fraudulent data falsification in the process of attaching axles to the wheels of freight trains. This has had an impact on logistics companies, including delays in the transport of goods.
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Three major banks to stop issuing paper promissory notes and checks by next fiscal year
2024-09-12 04:17:00
Three major banks will stop issuing new paper promissory notes and checks, which are used between companies, by the end of next fiscal year. Each bank is encouraging people to switch to online banking and other methods, which is likely to lead to a change in transaction habits.
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Nippon Steel and U.S. Steel disclose details of negotiations with unions, seeking understanding of takeover plan
2024-09-12 03:56:00
Regarding Nippon Steel's plan to acquire U.S. Steel, a major American steel manufacturer, both companies have disclosed the details of their negotiations with the steel industry labor union, which is opposed to the plan. This is an unusual move, and the company is seeking understanding for the acquisition plan, saying it has continued constructive dialogue.
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