This is a useful read from Reuters. Reuters have provided a 4-point summary of the piece at the top of the article buts its worth reading the whole thing for the nuances.

  • Prime Minister Fumio Kishida's administration meanwhile continues to defend the BOJ's ultra-easy policy as a necessary support to a still-fragile economic recovery.
  • "It's hard to tighten monetary policy to deal with cost-push inflation, which means monetary policy must remain loose," said deputy chief cabinet secretary Seiji Kihara, who is considered among the premier's closest aides.
  • Pressure to tweak the yield cap could become overwhelming if the yen, now hovering near 122 to the dollar, plunges to around 130, some analysts say.
usdyen daily chart 04 April 2022