Confidence at big Japanese manufacturers held steady in the three months to December but is seen worsening ahead, a BOJ survey showed.
Marcel Thieliant, Japan economist at Capital Economics, identifies the positive signals the Bank of Japan has given ahead of the key tankan survey.
Further BOJ easing will be a big investment theme next year despite Japan escaping recession, says Kay Van-Petersen, global macro strategist at Saxo Capital Markets.
Daryl Liew, head of portfolio management at REYL Singapore, discusses Japan's economic fundamentals including GDP data and the labor force.
China has important economic indicators due this week, including trade figures, industrial production, retail sales and home sales.
Roger Bridges, global rates and currencies strategist at Nikko Asset Management, explains that the dollar selloff was caused by the expectation of a wider policy divergence between the Fed and ECB.
Jeffrey Kleintop, chief global investment strategist at Charles Schwab, says Japanese earnings will improve because of pro-growth initiatives, among other factors.
Japanese markets have done well because of expansive monetary policy, says Beat Wittmann, co-founder, partner and chairman at Porta Investors.
Volatility will continue because there is a divergence between market expectations and Fed action, says Vasu Menon, VP of OCBC Group Wealth Management.
While fresh geopolitical fears after Turkey shot down a Russian warplane sent most Asian equities lower, oil prices and some energy plays saw gains.
Two Bank of Japan board members dissented from the bank's baseline scenario that inflation would reach 2 percent by 2017.
Myanmar's fundamentals, such as its 40 percent mobile penetration rate, are positive signs for investment in the teleco sector, says Suresh Sidhu, CEO of Edotco Group.
Japan will release a slew of data and companies around Asia will unveil earnings reports, in a busy week for markets.
The lack of inflation is pushing ECB Governor Mario Draghi to prepare the market for more easing, says Elias Haddad, senior currency strategist at CBA.
Ed Rogers, CEO and CIO of Rogers Investment Advisors, says the Bank of Japan can afford to wait for markets' reaction to the Fed's decision.
The Bank of Japan might make further changes to its inflation targets and time frames, notes Eric Robertsen, head of global macro strategy and FX strategy at Standard Chartered.
Tomo Kinoshita, MD and chief economist for Japan at Nomura Securities, says Japanese firms have imported more fuel to take advantage of lower oil prices.
Vine Street Trading head analyst Yra Harris discusses what options Japan is left with as it continues to stare recession in the face.
Japan will respond to China's slowdown with fiscal and structural policy, but not monetary policy, says Robert Feldman, chief Japan economist at Morgan Stanley.
SDR inclusion for the yuan is a filip for China but a large, early yuan inflow is questionable, says Chi Tan Teck Leng, FX analyst at UBS Wealth Management.