Missing Arrow

(Dec 2019) Peter considers the potential impact of upcoming fiscal stimulus packages, the third of Prime Minister Abe's reflationary strategies.

Summary

  • Abe’s fiscal package could be a turning-point in economic policy
  • He has buy-in from former fiscal hawks, such as BoJ Governor Kuroda
  • He requires a strong economy to support his constitutional reform project
  • Look for a steepening yield curve and exit from negative interest rates

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