Asia shares subdued for BOJ meeting, US inflation test

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SYDNEY (Reuters) -Asia stocks slipped on Monday in a subdued start to a week where Japans central bank might edge further away from its uber-easy policies, while a key reading on U.S. inflation is expected to underpin market pricing of interest rate cuts there...

None of the analysts polled by Reuters expected a definitive move at this meeting, but policy makers might start laying the groundwork for an eventual shift...

We now forecast three consecutive 25bp cuts in March, May, and June, followed by a slower pace of one cut per quarter until reaching a terminal rate of 3.25-3.5%, 25bp lower than we previously expected, wrote analysts at Goldman Sachs in a client note...

The investment bank also raised its forecast for the S&P 500 which it now sees ending 2024 at 5,100, while decelerating inflation and Fed easing would keep real yields low and support a price-to-earnings multiple greater than 19...

Markets imply around 150 basis points of easing by the European Central Bank next year, and 113 basis points of cuts from the Bank of England...

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