Market news
02.09.2021, 06:26

BoJ's board member Kataoka: Japan's economy is heading toward recovery but not fast enough

  • Japan's economy is heading toward recovery but not fast enough
  • Japan's economy is likely to recover as a trend
  • Risks to Japan's economic outlook are skewed to downside
  • Downward pressure on Japan prices is easing but inflation far from accelerating toward BoJ's 2% target
  • Japan's economy is lacking momentum to push up inflation toward 2% target
  • BoJ will ease further without hesitation if needed
  • My personal view is that BoJ should aggressively buy bonds, push down yields to prop up capex, investment in growth areas
  • BoJ must strengthen forward guidance on interest-rate targets
Later in the morning, there appeared reports about  Kataoka's following remarks: 
  • BoJ must ramp up bond buying for the purpose of pushing down short- and long-term rates
  • Given economic developments, personally see a need to take bolder steps on monetary policy
  • BoJ will seek to address various problems while focusing on hitting its price target
  • Japanese government and BoJ must communicate sufficiently in guiding policy

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