The International Monetary Fund’s chief economist Pierre-Olivier Gourinchas spoke on Tuesday, at a news conference held after the release of the IMF’s updated World Economic Outlook report.
- “Right now, the risk is probably on the upside, that maybe inflation pressures will continue to remain above the target”
- “Our advice for Japanese authorities there is that right now, monetary policy can remain accommodative, but it needs to prepare itself for the need to maybe start hiking”
- encouraging the BoJ to “be a bit more flexible and maybe move away from the yield-curve control that it has now.”
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The Bank of Japan statement is due on Friday. Previews:
- Credit Agricole: BOJ unlikely to adjust YCC, temporary reprieve for JPY
- BOJ is likely to consider raising their consumer inflation projection to around 2.5%
- Commerzbank’s two factors that’ll prompt a weaker yen if the BOJ holds steady policy
- BOJ meet this week. MUFG still expect YCC tweak but their confidence ebbing. Yen scenario.
Bank of Japan Governor Ueda
This article was written by Eamonn Sheridan at www.forexlive.com. Source