- Aside from wages and prices, must look at consumption, capex, and overseas developments also
- Then only we can decide when to exit easy policy
- Will have to make a decision at some point while looking at mixed batch of signals from the economy
- Not confident to say precisely by how much we are close to sustainably achieving price target
He also adds that there is a chance that the side effects of easy policy may diminish once they are closer to the exit path. Once again, they are not really giving much away but there is plenty of anticipation already built up going into next year’s spring wage negotiations. That is the expected timeline for them to start moving, so we’ll see.
This article was written by Justin Low at www.forexlive.com. Source