Watch Out: We are in a Very Critical Week, Three Central Banks to Announce Interest Rate Decisions – Here are the Days and Expectations

This article highlights the critical upcoming interest rate decisions from three major central banks: the Bank of Japan （BOJ）, the Federal Reserve （FED）, and the Bank of England （BOE）, and the potential market impacts.

Points

• BOJ decision expected on Wednesday morning.
• FED decision expected on Wednesday evening.
• BOE decision expected on Thursday afternoon.
• Analysts are divided on the potential outcomes and market impacts.
• The decisions could significantly influence global financial markets.

Bank of Japan （BOJ） Decision

The BOJ is set to announce its interest rate decision on Wednesday morning in Japan （Tuesday evening in the USA）. Analysts are divided on whether the BOJ will raise its policy rate from its current 0%-0.1% range or signal that a rate hike is imminent. With inflation running above the bank’s 2% target, the decision could impact Japan’s stagnant consumption and economic outlook.

Federal Reserve （FED） Decision

All eyes will turn to the FED, which will announce its decision on Wednesday evening. While no one expects the FED to cut interest rates, analysts predict that the FED will signal an interest rate cut expectation at its next meeting in mid-September. Current market expectations give a 100% chance of a rate cut in September, with a 12% chance that the cut will be 50 basis points instead of the usual 25.

Bank of England （BOE） Decision

The BOE will announce its policy decision on Thursday afternoon. Economists are split about ⁵⁰⁄₅₀ on whether the BOE will ease policy for the first time in several years. Even if the BOE reduces interest rates, it is expected to take a cautious approach, signaling to the markets that a series of interest rate cuts should not be expected.

解説

• The upcoming interest rate decisions from the BOJ, FED, and BOE are highly anticipated and could significantly influence global financial markets.
• Analysts are divided on the potential outcomes, highlighting the uncertainty and potential volatility in the market.
• The decisions will provide critical insights into the central banks’ approaches to managing inflation and economic growth.
• Investors should stay informed about the announcements and be prepared for potential market reactions.