Bank of Japan October 2023 monetary policy board meeting minutes.
Headlines via Reuters:
- Members agreed need to patiently maintain current easy policy
- Several members said must sustain YCC to continue supporting wage growth
- Another member said must confirm wage, inflation cycle in determining whether sustained achievement of price goal can be eyed
- One member said chance of Japan achieving sustained 2% inflation heightening, BOJ must gradually adjust degree of monetary easing
- Several members said Japan's price developments might become factor pushing up long-term interest rates
- One member said 10-year JGB yield may reach 1% depending on US Treasury market, domestic price developments
- Many members said side-effects on markets, corporate funding could become large if the BOJ keeps tight control on JGB yield
- Several members said making YCC flexible would help diminish speculative moves in market, make framework more sustainable
- One member said BOJ must strongly deny that today's measure is step toward abandoning YCC, negative rate policy
- Another member said steps BOJ took since December last year were aimed at continuing ultra-loose policy
- One member said the BOJ must proceed with communication with markets on chance of Japan's interest rates turning positive
- One member said achievement of price target already coming into sight, latter half of current fiscal year is critical period for scrutinising this
- A member said smaller firms have limited capacity to raise wages
- Several members said there was hope wage growth next year may outpace that of this year
There is nothing here pointing to a January pivot from the Bank.
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The full text is here:
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The tweak at this meeting was to keep the 1% JGB yield ceiling as a point of reference.
The summary of the meeting was released early in November:
From the day of the meeting:
