- now forecasting BOJ to boost stimulus in April 2015 vs Oct 2014
Noumra economists have just mailed a note to their clients. Reported by Bbg
One for you bank watchers. BOJ’s need to ease further still a coin flip really but Nomura note from yesterday’s Kuroda presser that he commented on no likelihood of inflation falling below 1% but also said his focus was on underlying trends rather than monthly fluctuations
They conclude that
inflation will not act as a trigger for additional easing even if it dips below 1%, greatly reducing the potential for further stimulus in Oct. At the April 2015 meeting BOJ will have to embark upon additional easing measures just to aim for inflation of around 2% in fiscal 2015 assuming inflation will have remained flat since Dec
