Further comments by BOJ deputy governor Wakatabe as he speaks in parliament
- There are merits and demerits of monetary policy change over time
- Must be mindful that damage to bank profits from prolonged low rates could accumulate
- BOJ is continuing current policy so that price expectations will rise
- Yield curve will steepen if BOJ patiently maintains current easing policy
- BOJ is doing what it needs to do in order to reach 2% inflation target
- Highly unlikely Japan will experience hyperinflation if BOJ sticks to inflation target
- BOJ has tools to both ease or tighten policy
Nothing more from Wakatabe. Mainly a repeat of the BOJ's usual comments.