Japan yesterday maintained benchmark interest rate of 0.1% unchanged risk preference continued to support non-US

Yesterday, the BoJ, after a two-day conference on monetary policy, announced that it would keep its benchmark interest rate unchanged at 0.1%, in line with previous market expectations, but would cut growth forecasts and extend credit-related measures.　　The BOJ expects GDP to shrink by 3.4% in the fiscal year up to March 2010, core CPI down 1.3%, GDP to rise 1% in the next fiscal year and core CPI down 1%. In addition, the BOJ will continue to accept corporate debt as collateral until March 2010. The BOJ's view of Japan's growth prospects was broadly in line with that of April, saying Japan's economy has stopped deteriorating and that the economy is expected to start to recover by the end of the year. The Nikkei index briefly fell after the BOJ statement, but rose again soon.　　Overall, risk appetite continues to improve, supporting the continued rebound of the non-US currency Asian market. In the main non-US currencies, risk appetite continued to prop up non-US currencies yesterday before New York. European time, despite data on the eurozone's June CPI and Britain's June unemployment rate, the market's response to the data was lukewarm as eurozone inflation neared expectations and Britain's employment figures were mixed.　　Yesterday's focus was still on the stock market, with Europe's three major indices up, and Germany's DAX index up more than 2%, while France's CAC40 index and the FT's 100 index rose to 1.97% and 1.75% respectively, and risk appetite continued to be the biggest contributor to the non-US rally. Goldman Sachs quarterly performance in Tuesday, but because the market early expectations and thus failed to make a big push on U.S. stocks, the U.S. stocks eventually edged up.　　There is still some uncertainty about the stock market, which will be released later this week with quarterly reports such as Citigroup and Morgan Stanley. Yesterday evening, the U.S. Labor Department released June CPI and industrial production data, although the June CPI rose, but the annual rate fell 1.4%, and June industrial output monthly decline of 0.4%, less than expected, better data than expected to help continue to improve market risk appetite.　The highlights of the US session yesterday evening were still in the Fed's minutes, and the Fed's rhetoric about the economy and inflation and the dollar's status would have an impact on the currency markets. NBD synthesis