More comments
- BoJ Gov Kuroda: regional banks must make efforts to boost profitability such as through cost cuts
- Regional banks in Japan have sufficient buffers, capital but seeing profits from core operations fall due to low rates, dwindling population
- recent slowdown in Japan's consumer inflation likely temporary, expect prices to gradually accelerate.
- BoJ can avoid super-long yields from falling too much by adjusting market operations appropriately
- BoJ has become more keen to ease than before as risks to economy is heightening.
The last comment in bold is important, as there were expectations of potentially more easing at the last meeting. This pushes focus onto the next October meeting for more easing to be announced.
