Bank of Japan Governor Ueda
- BOJ would raise the policy rate this year if economic and price conditions continue to improve.
- He also noted that the approach to monetary policy adjustments will depend on prevailing economic, price, and financial conditions at the time.
- Ueda highlighted that the policy outlook of the new U.S. administration and domestic wage negotiations are critical factors in the BOJ’s policy decisions.
- He mentioned that the central bank would discuss whether to raise rates at next week’s meeting.
USD/JPY not showing too much response to these repeated remarks:
Earlier:
- ICYMI: Nomura are now forecasting a Bank of Japan (BoJ) interest rate hike next week
- A majority of Japanese companies see wage hikes as a priority investment area this year
- Japan December PPI +0.3% m/m (expected +0.4%) 3.8% y/y (expected 3.8%)
- USD/JPY back under 156.00
- Bloomberg says Bank of Japan likely to hike rates next week
- Recapping Japan's wholesale inflation data earlier - helping to fuel rate hike chatter
