Japan media: Groundbreaking for the end of BOJ negative interest rates has finally begun

The Nikkie with a Japanese-only article, link here

I used Google to translate the pertinent points:

  • The end of the Bank of Japan ‘s negative interest rate policy is approaching.
  • The Bank of Japan will determine whether to lift the ban as early as the first half of 2024 after monitoring trends in spring labor-management negotiations and consumer spending. If lifted, it would be the first interest rate hike in 17 years, marking a turning point in monetary policy, which had been focused solely on easing in an effort to overcome deflation.
  • The determination of not only the Bank of Japan, but also the government and businesses to get out of the lukewarm waters of ultra-low interest rates and return to growth will be tested.

  • Investigating the merits and demerits of negative interest rates
    “The groundbreaking for the end of negative interest rates has finally begun”…

We already know that the Bank will be assessing the Spring wage negotiations, so its not as if the article is telling us something new. But is another straw on the camel’s back of ending negative rates and such is a yen tailwind. 

usdjpy chart boj end negative rates 28 November 2023

This article was written by Eamonn Sheridan at www.forexlive.com. Source