Asia markets opened mixed on Thursday, ahead of another earnings-heavy day and the start of the Bank of Japan's policy meeting. » Read More
If the inflation forecast for fiscal 2016 is maintained around 2 percent, the Bank of Japan will likely keep rates steady at this stage, says Jonathan Cavenagh, senior FX strategist at Westpac.
Ben Collett, head of Asian Equities at Sunrise Brokers, says the Bank of Japan needs positive expectations that inflation can rise and a weaker yen, which could hit 250 per dollar in the long run.
Klaus Baader, head of Research for Asia at Societe Generale, says the Bank of Japan will need to admit that its inflation target has to be reduced at today's meeting, paving the way for more stimulus by the fourth quarter.
Ed Rogers, CEO of Rogers Investment Advisors, says the Bank of Japan can afford to wait and see amid wage increases and improvements in corporate profits.
Japan's already less-than-sterling credit rating took a hit from Fitch's downgrade, but its bonds and currency are set to stay impervious to the blow.
Joe Zidle, portfolio strategist at Richard Bernstein Advisors, says Tuesday's dismal retail sales will increase pressure on the Bank of Japan to introduce more stimulus, which is good for stocks.
The euro scaled a three-weak peak against the dollar on optimism about Greece's prospects after the government reshuffled its bailout team.
Hans Goetti, Head of Investment Asia at Banque Internationale à Luxembourg, says the decision to restart Japan's nuclear program is an unpopular but necessary decision for Prime Minister Abe.
Asian stocks mostly advanced on Thursday despite data showing China's factory activity at a one-year low.
Reports the Bank of Japan is preparing to lower its inflation outlook could push the yen to its lowest level in 13 years, analysts say.
If reports about the Bank of Japan planning to lower its inflation outlook are true, the yen could fall to 130-140 in the future, says Peter Boardman, managing director of Tradewinds.
Although Chinese companies may hold a lot of dollar debt, a Fed rate hike is unlikely to derail the Beijing-led economy, experts said.
Paul Gruenwald, chief economist, Asia Pacific at Standard and Poor's Ratings, says China may struggle to reach its 2015 growth target as the problem of oversupply persists.
Randall Jones, head of Japan and Korea Desk at OECD, says the Bank of Japan's quantitative and qualitative easing (QQE) program has worked to lift inflation expectations, but stresses the need to speed up reforms.
The dollar rose against the euro in a continuation of last week's bets that the Fed will hike interest rates in the coming months.
Chinese shares touched fresh seven-year highs on Monday, while Japan's Nikkei 225 struggled to find momentum.
David Roche, global strategist at Independent Strategy, says the Bank of Japan will have to roll out further easing in the second-half of 2015, but warns of risks from the central bank's ballooning balance sheet.
Asian stocks were higher across the board on Wednesday, with Tokyo, Seoul and mainland markets hitting fresh highs.
Marcel Thieliant, global economist at Capital Economics, thinks the Bank of Japan "will have to step up the pace of easing soon."
The Economist Intelligence Unit CEO Robin Bew says Japanese reforms have fallen short of changing the country's profit growth and employment story