Bank of Japan Governor Ueda

  • BoJ expected to maintain accommodative monetary policy for the time being.
  • Accommodative monetary policy likely to underpin the economy.
  • Cost-push pressure on inflation dissipating but service prices continue to rise moderately.
  • Recent wage negotiation data, hearing on companies confirmed wage-inflation cycle strengthening
  • Medium, long-term inflation expectations heading toward 2%
  • BOJ will support economy, prices by maintaining accommodative monetary conditions for time being
  • We could have waited until inflation stays at 2% for long time, before exiting massive stimulus but that could have led to sharp increase in upside risk to price outlook
  • Don't think our latest decision will lead to sharp increase in mortgage loan rates, cost of corporate

USD/JPY has dropped and is dropping a little further on Ueda:

usdyen ueda boj 21 March 2024 2