Group 1 - The Bank of England is expected to maintain the policy interest rate at 4.25% during the upcoming meeting, with market expectations for two rate cuts within the year [2][3] - Recent disappointing employment data and slowing wage growth are paving the way for potential rate cuts in August and November [3][4] - Wage growth in the private sector has decreased from 6% to nearly 5%, indicating a real cooling of wage pressures [5] Group 2 - The overall inflation situation in the UK remains challenging, with CPI expected to stay above 3% for the year [5] - Service sector inflation rose to 5.4% in April, primarily due to road tax increases and the timing of Easter, but is expected to decrease in the coming months [5][6] - ING predicts that the Bank of England will cut rates again in November, with a final rate of 3.25% by 2026, slightly below market pricing [10] Group 3 - Voting on rate decisions may show some division, with a possibility of a few officials supporting a rate cut this month [6][7] - The meeting is anticipated to result in a vote of 7 to 2 in favor of maintaining the current rate, with potential for a 6 to 3 outcome [7] - The Bank of England has consistently emphasized a "gradual and cautious" approach to monetary policy, which is expected to be reiterated in the upcoming statement [8]

Group 1 - The Bank of Japan unanimously decided to maintain interest rates, with future rate hikes dependent on the likelihood of achieving economic expectations [1] - The Japanese economy is showing moderate recovery, although some signs of weakness remain, with downward risks to both the economy and prices being more severe [1] - Inflation expectations in Japan have not stabilized at the 2% target level, with core inflation not rising at an accelerated pace [1] Group 2 - The Bank of Japan plans to reduce monthly government bond purchases, with a target of 325 billion yen for 3-5 year bonds from July to September, down from 275 billion yen previously [2] - By March 2027, the total amount of government bonds held by the Bank of Japan is expected to decrease by approximately 16-17% from the levels in June 2024 [2] - A new bond purchase plan will be announced in June next year for the period starting April 2027 [2]

Core Points - Japanese Prime Minister Shigeru Ishiba has pledged to increase national salary levels and aims for the economy to reach a total of $6.9 trillion by 2040 [1] - The commitment includes a target for nominal GDP to reach 1,000 trillion yen and an increase of average wages by 50% or more from current levels [1] - This announcement comes as Japanese voters prepare to evaluate Ishiba's performance as Prime Minister, following a significant defeat in the previous election [1]

Group 1 - The Australian Bureau of Statistics reported a 0.9% increase in the wage price index for Q1, slightly above the market expectation of 0.8% [1] - The wage growth was primarily driven by government pay increases for care workers, particularly one-off bonuses for childcare and aged care staff [1] - Private sector wage growth remains weak, indicating that despite a tight labor market, it has not prevented the Reserve Bank of Australia from considering interest rate cuts [1] Group 2 - Investors widely expect the Reserve Bank of Australia to lower the interest rate by 25 basis points to 3.85% in the upcoming meeting on May 20 [1] - The year-on-year wage price index growth for Q1 rose from a two-year low of 3.2% to 3.4%, exceeding market expectations [1] - Public sector wage growth surged to 3.6%, reversing a significant decline from the previous quarter, while private sector wage growth remained at 3.3%, well below the peak of 4.2% expected in 2024 [1] Group 3 - Upcoming labor data for April is expected to show a steady increase of about 20,000 jobs, with the unemployment rate holding at 4.1% [2] - Despite some broad labor cost indicators rising, productivity growth remains disappointingly weak, which could threaten progress in controlling inflation [2] - The overall inflation rate for Q1 was 2.4%, with the key core inflation measure's year-on-year growth slowing to 2.9%, the lowest level in three years, returning to the RBA's target range for the first time since the end of 2021 [2]

Core Insights - Argentina's salaries increased by 3.8% month-on-month in February [1] Economic Indicators - The 3.8% increase in salaries indicates a positive trend in wage growth within the Argentine economy [1]