The Bank of Japan sees a rise in the likelihood of achieving its inflation target

Mondo Finance Updated on 2024-01-30

According to Reuters on December 25, Bank of Japan Governor Kazuo Ueda said on Monday that the likelihood of achieving the bank's inflation target is "gradually increasing".If the likelihood of a sustainable 2% target is "sufficient" to increase, the central bank will consider adjusting policy.

Kazuo Ueda said, "If the virtuous cycle between salary and ** is strengthened, and the likelihood of achieving our ** goal in a sustainable and stable way is sufficiently improved, we may consider adjusting the policy." "This is the clearest signal to date about the possible end of an extremely loose monetary policy.

Speaking to Keidanren, he noted that companies are open to raising salaries and **.

Kazuo Ueda said that due to uncertainties in economic and market developments, the Bank of Japan has not yet decided on a specific time to adjust the monetary policy, which can be called the most accommodative of all large ** banks.

"We will carefully study the economic development and the wage and pricing behaviour of companies to determine future monetary policy in an appropriate way," he said. ”

Given that inflation has been well above target for more than a year, many market participants** the Bank of Japan will raise short-term interest rates next year to move out of negative interest ratesSome market participants are even betting on a rate hike as early as January next year. (Compiled by Cheng Guoyi).

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