The Bank of Japan is holding a two-day monetary policy meeting, and is reportedly planning to leave the policy rate unchanged to assess the effects of its rate hike as inflation is expected to be judged to have reached 2%.
The Bank of Japan is holding a two-day monetary policy meeting starting today. Market expectations are that it will indicate that inflation has reached the 2% target, while the policy rate is expected to remain unchanged so that the effects of the rate hike can be assessed.
The Bank of Japan has so far aimed to stabilize underlying inflation at around 2%, but the focus of this meeting is expected to be its near-term monetary policy stance. The policy rate was reportedly raised to approximately 1.25% last month, and the Bank is expected to assess the effects this time.
According to the整理 of views among関係者, the Bank may indicate the direction of future monetary policy while balancing ongoing reviews of the inflation outlook with economic trends. The market is focused on the Bank of Japan’s statement and developments in economic data.