BOJ keeps monetary policy unchanged, says 2020 Games to help

Euro Yen Are Primed for BoJ ECB Rate Decisions

The Bank of Japan raised its economic forecasts at its policy meeting outcome on Thursday, but it kept policy steady, as was widely expected. Also, markets will be focusing on the country's March consumer price inflation (CPI), scheduled to be released on April 28 for detailed direction in the debt market.

"Discussing an exit strategy in detail at this time would bring turmoil to financial markets", he said.

"This may happen at its quarterly forecast review in April", said Kazuo Momma, a former top BOJ economist. BOJ Gov. Haruhiko Kuroda said last week that the accommodative policy and asset purchases will continue for some time because inflation is "quite sluggish", underscoring how far the BOJ lags behind its counterparts in the USA and Europe.

In the quarterly review, the BOJ cut its core consumer inflation forecast for the year ending in March 2018 to 1.4 percent from 1.5 percent, blaming stubbornly weak services and durable goods prices.

The U.S. Federal Reserve is already embarking on interest rate hikes, while the European Central Bank may send a small signal in June toward reducing stimulus.

The BOJ had set its target yield for the benchmark 10-year Japanese government bond at around zero percent, and it has been willing to intervene to keep the benchmark yield in line with its target. "If so, it's natural to believe that this will lead to an improvement in the output gap, tighten labour market conditions, thereby pushing up wages and inflation". "Japan's labor market is tight, but retailers still want to cut prices". Overall, inflation expectations haven't shown clear signs of a pick-up. "But if we get a massive sell-off in the bond market and people lose money then they are entirely relaxed about that", said Lloyd, the firm's head of institutional portfolio management.

Kuroda's comments come as the United States central bank raises interest rates while speculation swirls that the European Central Bank is considering backing off its own stimulus by turning off the taps on massive bond-buying or raising borrowing costs from historic lows.

Core inflation, which excludes fresh food prices, was 0.2 percent in February.

Analysts say the bank is trying to support Japan's economy by maintaining easing measures.

After more than three years of huge asset purchases failed to accelerate inflation, the BOJ revamped its policy framework last September to one aimed at capping long-term interest rates.

Related news:

Hot News

isis-killer-beheading-video-story-top Kia Motors to set up 300000-unit capacity plant in Andhra Pradesh
Apr 28, 2017 - 00:58
Seoul, April27 :Korea's second largest carmaker Kia Motors has finally announced its plans to enter the Indian vehicle market. Kia Motors Corporation, which was founded in 1944, is Korea's oldest manufacturer of motor vehicles.

isis-killer-beheading-video-story-top Illinois House ignores veto threat by passing abortion expansion
Apr 28, 2017 - 00:50
Wade be overturned and expand abortion coverage under Medicaid and state employee health plans. But Rauner has said instead we need to focus on ending the almost two year budget impasse.

isis-killer-beheading-video-story-top Russia's Chernova stripped of 2008 Olympic bronze for doping
Apr 28, 2017 - 00:44
For professional athletes, there's nothing more rewarding than winning an Olympic medal. If it happens, she will be eight months pregnant and the medal will be six years late.

isis-killer-beheading-video-story-top Trump errs on the court system
Apr 27, 2017 - 02:21
On the judge shopping question - it is natural that many immigration cases come out of California. TRUMP: The 9th Circuit has "a bad record of being overturned (close to 80 percent)".

Trump tweets don't help: 1st Twitter revenue drop since IPO
Apr 27, 2017 - 02:20
Twitter is also doing a better job as rolling out new products, and meeting the needs of average users, said Dorsey. In addition, Twitter said it had 328 million monthly active users , up 6% year over year and 3% sequentially.

isis-killer-beheading-video-story-top Watch Caitlyn Jenner on Why She Won't Play Golf With President Trump
Apr 27, 2017 - 02:20
I like a thriving economy. "There's a lot of issues out there for our community that I'm fighting for and I want the Republican Party to do a better job".

National monuments a 'massive federal land grab'
Apr 27, 2017 - 02:18
Roosevelt (Jackson Hole National Monument, now Grand Teton National Park); Jimmy Carter (vast lands in Alaska); and George W. But it would also anger conservationists and some Native American groups, who hold certain national monuments sacred.

Twitter posts strongest growth in monthly users in a year
Apr 27, 2017 - 02:15
That's why the recent loss of an National Football League deal to Amazon was an especially hard blow to Twitter . Revenue: $548 million vs. $512 million expected, down from $595 million in the year-ago period.

isis-killer-beheading-video-story-top NHL Playoffs: Round Two, Edmonton Oilers vs Anaheim Ducks
Apr 27, 2017 - 02:13
Edmonton did not make any personnel changes and went with the same lines in Game 6 as in Game 5. From this point on it's anyone's game no matter where you finished in the regular season.

isis-killer-beheading-video-story-top Three more shot dead in Venezuela amid protests; 24 total killed
Apr 27, 2017 - 02:10
In just under a month of unrest, more than 400 people have been injured, and almost 1,300 arrested, the attorney general said.

isis-killer-beheading-video-story-top Venezuela says it's renouncing membership in OAS
Apr 27, 2017 - 02:08
According to reports, almost 1,300 people have been detained in clashes since a Supreme Court ruling that stripped congress of its powers.

isis-killer-beheading-video-story-top Mayor of Memphis offers tardy slips for fans watching Grizzlies-Spurs
Apr 26, 2017 - 08:44
The Spurs beat the Grizzlies 116-103 and now hold a 3-2 lead in the best of seven series to begin the play-off campaign. Leonard wound up with 28 points on 9 of 16 shooting, while Mills went 7 for 10 and delivered 20 points.

isis-killer-beheading-video-story-top Nasdaq closes above 6000 as Facebook and Netflix hit records
Apr 26, 2017 - 08:43
Following Election Day, the S&P 500 had the biggest one-month rally in the its 93 years of existence. However, the bubble burst and the Nasdaq did not return to the 5,000 mark again until March 2015.

isis-killer-beheading-video-story-top IPhone 8 becomes OLED iPhone
Apr 25, 2017 - 13:56
The phone also looks to be visibly fatter than the existing iPhone 7, although exact dimensions have yet to be revealed. One rumor surrounding the delay and the possible solution was shared on Twitter last week by Sonny Dickson .

North Korea marks military anniversary with firing drill
Apr 25, 2017 - 13:05
According to the US Navy's Submarine Force Pacific website, the USS Michigan carries more than 150 Tomahawk cruise missiles. As well as his military show of force, Trump has sought to press China to do more to rein in its nuclear-armed neighbour.