Bank of Japan monetary policy board member speaking, giving USD/JPY a bit of a boost with that headline.
- important for BOJ to act pre-emptively when economic, price risks heightening
- I believe BOJ must strengthen monetary easing given there is gap between its price target and actual inflation moves
- by cutting short-term rate target, BOJ can change shape of yield curve to one that is more accommodative
- the timing of the global economic recovery is being delayed, any recovery likely to be moderate
Unusually, the chap has some comments directly on the yen:
- inflation may come under downward pressure from roex moves as other central banks turn more dovish on monetary policy
