The Federal Open Market Committee (FOMC) will be hiking by 75bp next week (on September 21).

Hours after this the Bank of Japan will conclude its own policy meeting.

Bloomberg (gated) have surveyed 49 economists. None of them expect any change to policy:

  • the yield curve control program and asset purchases will remain unchanged

There is pressure to do something with policy to address the weak yen, but it will not come in the form of changes to those major policy planks of the Bank.

Via BNP Paribas:

  • The probability that the BOJ will change policy in response to yen moves remains as ever, low, even though the yen has rapidly weakened since the end of August


  • There’ll be a lot of attention paid to what Kuroda says about foreign exchange rates
  • He’ll likely say something that shows his concern over the recent moves, but it won’t lead to actual action from the BOJ
kuroda meme 2