Hawkish headline comment from Bank of Japan Governor Ueda
- concerns about slowing US economy caused recent market rout
- closely watching market moves with a sense of urgency as uncertainties remain
- domestic and overseas markets remain unstable
- decided to raise rates in July due to risk of price overshoot driven by import costs
- economy is moving in line with price target protections
- important to communicate with the public on BOJ’s thinking
- The Bank of Japan July rate hike decision was based on our inflation forecast and the risk of an inflation overshoot
More, this from a senior BoJ official:
-
Japan’s real interest rate remain deeply in negative territory, so
accommodative monetary condition is maintained - Need to take time
to decide with what to do with ETF held by BOJ -
Not thinking
about getting rid of ETF immediately
more to come
This article was written by Eamonn Sheridan at www.forexlive.com. Source