Japanese Corporations Not Onboard with Abe’s Goals

Japan Inc sees no need for an aggressive pursuit of a 2 percent inflation goal or additional monetary easing, a Reuters poll showed – a stance that supports the central bank’s recent softer tone on achieving its consumer price target in the near future.

Analysts, however, expect the Bank of Japan to embark on more stimulus later this year, topping up its latest round launched in October, to support economic growth and ensure rises in inflation, a separate Reuters poll showed this month.

Seeking to wrench the country out of nearly two decades of deflation, BOJ Governor Haruhiko Kuroda unleashed an unprecedented burst of monetary stimulus in April 2013, saying the aim was to achieve 2 percent inflation in roughly two years. But last month he declared the timeframe was not set in stone and noted that a steep slide in oil prices had derailed earlier expectations.

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza