BOJ Deputy Governor Himino Ryozo (氷見野良三) indicated at a press conference in Saitama that the Bank was considering additional rate hikes, including at its September meeting. He also said that it was necessary to remain fully alert to upside risks to prices as inflation approaches the 2% target.
BOJ Deputy Governor Himino Ryozo (氷見野良三) held a press conference in Saitama on the 27th and indicated that the Bank would carefully consider an additional rate hike following June's move at upcoming monetary policy meetings. He also mentioned the possibility of proceeding with a rate hike as early as the next meeting in September.
Expectations for a September rate hike are spreading in the market, but while avoiding a specific assessment of the market's view, Himino Ryozo (氷見野良三) emphasized the need to remain alert to upside risks to prices, given that underlying inflation is approaching 2%.
He expressed the view that he wanted to guide underlying inflation to 2% through appropriate policy management, and also made remarks suggesting a policy of "easing off the accelerator at the appropriate time" regarding the direction of monetary policy management going forward.
Some in the market are anticipating a rate hike at the September meeting, but it should be noted that the BOJ's formal decision will depend on upcoming economic data.