Live on Bloomberg TV
Bank of Japan (BoJ) Governor Kuroda said “I think the current pace of purchases and monetary base increase would continue for some time”
* FX rate can affect inflation in short-term, but we think that inflation will go up reflecting the better output gap
* If FX appreciates, timing of 2% could be slightly delayed, if it depreciates, timing could be earlier, but basic trend is toward reaching 2% target
* The BOJ has about 40% of JGBs outstanding – so that means that 60% still in the market
* Don’t see any constraint for our policy to stimulate economy in coming years
* Inflation forecast based on assumption of stable FX
* Japan’s economy growing well above potential growth rate
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Dean Popplewell
He has a deep understanding of market fundamentals and the impact of global events on capital markets.
He is respected among professional traders for his skilled analysis and career history as global head
of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean
has played an instrumental role in driving awareness of the forex market as an emerging asset class
for retail investors, as well as providing expert counsel to a number of internal teams on how to best
serve clients and industry stakeholders.
Latest posts by Dean Popplewell (see all)
- Euro zone bond yields sink as German manufacturing slows - 24 July 2019
- How Boris Johnson Plans to Deliver Brexit in 100 Days - 24 July 2019
- Weak PMI’s Sink EUR - 24 July 2019