BoJ’s Tamura: Appropriate to keep easy policy now given uncertainty over reaching price target

Bank of Japan (BoJ) board member Tamura is offering his view on the economic and inflation outlook during his appearance on Wednesday.

Key quotes

Personally feel sustained, stable achievement of 2% inflation target is clearly in sight.

Appropriate to keep easy policy now given uncertainty over prospects for hitting price goal.

We are in a phase where we need to humbly look at wage, price developments.

Hoping we will have further clarity around january-march next year on prospects for hitting price goal.

Don't expect 10-year yield to rise to 1.0%, new cap is set as protective measure.

Uncertainty over Japan's economic, price outlook very high.

BoJ’s step in July aimed at making operation of ycc more flexible.

Corporate price-setting behaviour has changed from period of deflation.

Positive cycle between wages, inflation being seen as wage rises improve consumer sentiment.

Japan's exports, output moving sideways, capex rising moderately.

Japan's economy likely to keep recovering driven by domestic demand.

There is good chance japan's economic growth will overshoot expectations.