Sakurai in Rome

Bank of Japan board member Makoto Sakurai is in Rome and used the occasion to remind everyone that miniscule unemployment doesn't necessarily mean wage growth. Economists dismiss Japan out-of-hand because it doesn't fit the models but the models aren't working particularly well anywhere.

On monetary policy, Sakurai committed to keeping rates low.

"It is essential, therefore, for the (BOJ) to continue to conduct monetary policy under the current framework for the time being," he said, while highlighting that momentum toward price stability is being maintained.

He also referred back to the labor market, saying women and elderly people have been entering the labor force and their wages tend to be lower, pushing down wages.