March 19th, 2024
Bloomberg recently published an article featuring Mark Williams, Master Lecturer of Finance discussing how The Bank of Japan’s negative interest rates marks a significant shift in Japan’s monetary policy.
Within Japan, the first hike since 2007 has sparked both optimism and concerns, as rising rates could help trigger a recession. In terms of trading, it is anticipated that securities firms will benefit from higher client volumes in fixed-income and currency trading areas, leading to increased profits.
“The anticipation of higher central bank rates and increased bond price volatility has already translated into greater trading volume. These rate hikes in the world’s third-largest bond market will supercharge trading profit opportunities,” Williams adds.
