The Bank of Japan (BoJ) looks set to bring no major surprises at its policy meeting this week, but the market will be keeping an ear out for any changes in Governor Haruhiko Kuroda’s optimistic stance on the economy.
Despite increasing evidence of a slowdown, largely brought on by April’s 3-percentage-point consumption tax hike, Kuroda has defended his upbeat view on the economy. “We’ll be looking to whether Kuroda acknowledges weakness in the data, or maintains a glass half full view,” Izumi Devalier, Japan economist at HSBC, told CNBC.
The BoJ will announce a decision on monetary policy on Friday after a two-day meeting. Kuroda is scheduled to hold a press conference after the decision at 1530 local time on Friday.