26 Nov 2013
Flash: BoJ looking comfortable - BTMU
FXstreet.com (London) - Lee Hradman, strategist at the Bank of Tokyo-Mitsubishi UFJ, Ltd noted the minutes from the BoJ’s policy meeting on the 31st October .
“They revealed that most board members agreed that inflation was likely to reach around 2.0% towards the latter half of the projection period”.
“However some members concluded that the probability of downside risks to the economy and inflation were tilted to the downside”.
“Board member Shirai noted specifically that “attention should be paid to
the downside risks” to the bank’s outlook report as “there was a high
degree of uncertainty regarding developments in overseas economies and
households’ employment and income situation””.
“BoJ board members also expressed positive views that higher corporate profits would feed through to higher earnings for employees supporting consumption growth ahead”.
“Overall, the minutes although dated suggest that the BoJ continues to
remain comfortable to maintain its current policy stance and economic
outlook”.
“They revealed that most board members agreed that inflation was likely to reach around 2.0% towards the latter half of the projection period”.
“However some members concluded that the probability of downside risks to the economy and inflation were tilted to the downside”.
“Board member Shirai noted specifically that “attention should be paid to
the downside risks” to the bank’s outlook report as “there was a high
degree of uncertainty regarding developments in overseas economies and
households’ employment and income situation””.
“BoJ board members also expressed positive views that higher corporate profits would feed through to higher earnings for employees supporting consumption growth ahead”.
“Overall, the minutes although dated suggest that the BoJ continues to
remain comfortable to maintain its current policy stance and economic
outlook”.