Bank of Japan Governor Kuroda is speaking from parliamnet:
- it's true recent sharp yen fall, coupled with raw material price rise, driving up japan's prices
- consumer inflation likely to accelerate toward year-end before sliding below 2% next fiscal year
- there is very high uncertainty on how fx fluctuations, global commodity prices affect domestic prices
- BOJ will keep a close eye on fx, market moves and their impact on economy
- Very few people I met in Washington expected the dollar to continue rising against most other currencies , as is the case now
- USD/JPY appears to be moving in parallel with Japan-US short-term interest rates gap now, but in the past there were cases where they did not move in parallel
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On the 'people I met in Washington' comment. I'd humbly suggest 99.9% of these government types are more or less clueless when it comes to forex.
