Institutional preview of the decisions of the three Asian central banks: Japan raises interest rates, Singapore "cuts interest rates", and Malaysia remains unchanged

Odaily reports that while the market is focused on Trump, the interest rate decisions of three Asian central banks will also attract attention. After Bank of Japan Governor Haruhiko Kuroda said last week that the bank would discuss a rate hike, Maybank analysts believe the Bank of Japan is highly likely to raise rates by 25 basis points to 0.50% this Friday. Officials have recently said that a clearer direction of US policy is another key factor. Maybank believes the yen may strengthen, as the current US-Japan yield differential suggests USD/JPY will fall below 150. The Monetary Authority of Singapore will on Friday slightly lower the Singapore dollar exchange rate slope to ease policy, citing a benign inflation outlook and a more uncertain global environment. Bank Negara Malaysia will hold steady on Wednesday, as economic growth remains strong and inflation is likely to rise.