Japan's Economic Growth Boosts Market Sentiment.

Japan's economy has demonstrated encouraging signs of improvement, with a 0.3% growth in real gross domestic product (GDP) on an annualized basis in the third quarter of 2024. This represents a turnaround from the two consecutive quarters of decline that preceded it. In July, the Bank of Japan (BoJ) increased interest rates to 0.25%, the highest level since 2008. The BoJ has indicated that rates may continue to rise if economic activity and prices develop as expected. However, the GDP growth was lower than the second quarter, and capital spending has fallen while consumption is still recovering slowly. On a quarterly basis, GDP rose 0.2%, in line with estimates. The BoJ has plans to raise interest rates to 1% in the second half of fiscal year 2025 if economic indicators remain positive. The Prime Minister of Japan commented on the GDP growth in October, indicating that the country is making progress.

Ekonomi Jepang Kembali Tumbuh, PDB Naik 0,3%

Trump's 60% Tariffs: New Challenges for China's Economy.

Following Donald Trump's re-election, trade tensions have resurfaced between the United States and China. Trump intends to impose a 60% tariff on all imported goods from China, which represents a continuation of his protectionist approach. China's economy is already facing challenges, with a 5% growth target for this year unlikely to be achieved. The country is facing a number of challenges, including a property sector crisis, high youth unemployment, and an increasing burden of local government debt. However, the export sector has been a source of optimism amidst the economic slowdown. The proposed tariffs by Trump present a significant challenge to China's export sector, which has been a key driver of economic growth. In order to mitigate the potential negative impact on the economy, Beijing has implemented a series of precautionary measures, including the introduction of policies designed to stimulate domestic economic growth and the implementation of a $1.4 trillion assistance program for local governments facing financial challenges. Nevertheless, these measures may prove insufficient to insulate the economy from the effects of a potential trade conflict with the United States. China has identified the need for a retaliatory strategy in light of past experiences.

Dampak Potensial Perang Dagang Baru antara Amerika Serikat dan China Era Donald Trump

The Effect of the Fed Rate Cut on Indonesian Banking in 2025.

The Indonesian banking sector is closely monitoring the potential for a reduction in the US Federal Reserve (Fed) benchmark interest rate in 2025. The recent reduction in the Federal Funds Rate (FFR) by the Federal Reserve has led to heightened market expectations for a prolonged period of low interest rates. Dian Ediana Rae, Chief Executive of Banking Supervision at OJK, anticipates that a continued decrease in the FFR in 2025 will have a positive impact on domestic banking liquidity. The reduction in the cost of funds for banks resulting from the BI Rate adjustment will lead to improved profitability and potentially lower lending rates, thereby boosting credit growth. However, Dian suggests that banks consider global political and economic dynamics when developing strategies and business plans for the future, particularly in light of the change in US government leadership from Joe Biden to Donald Trump.

Harap-Harap Cemas Perbankan RI soal Suku Bunga The Fed dan Kemenangan Trump