Japan top economic council urge BOJ to consider modifying policy if CPI, wages keep rising

Japan's government and the Bank of Japan central bank held a fresh round of discussions on Monday.

• The meeting of the government's top economic council focused on whether recent rises in inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term and wage growth suggest Japan is approaching a sustained exit from deflation.
• "While there have been some positive signs in recent data, we must ensure they are stable and sustainable so that Japan won't revert to deflation," the Cabinet Office told the meeting.
• Bank of Japan (BOJ) Governor Kazuo Ueda spoke about the bank's resolve to patiently maintain ultra-loose monetary policy

In a separate session that included academics and private-sector experts, some participants urged the BOJ BOJ The Bank of Japan (BOJ) is the central bank of Japan. It was established in 1882 and is headquartered in Tokyo.The BOJ's main responsibilities include issuing and managing the country's currency, implementing monetary policy, and ensuring the stability of the financial system. It also acts as a lender of last resort to banks during times of financial crisis. The BOJ sets the interest rate of the country and sets an inflation target, aiming to achieve 2% inflation.The BoO has a long history, with The Bank of Japan (BOJ) is the central bank of Japan. It was established in 1882 and is headquartered in Tokyo.The BOJ's main responsibilities include issuing and managing the country's currency, implementing monetary policy, and ensuring the stability of the financial system. It also acts as a lender of last resort to banks during times of financial crisis. The BOJ sets the interest rate of the country and sets an inflation target, aiming to achieve 2% inflation.The BoO has a long history, with Read this Term to end quantitative easing when inflation stabilises around its 2% inflation target, a summary of the discussions released by the Cabinet Office showed.

• "When inflation and wages continue to increase, the BOJ should eye modifying its extraordinary monetary easing measures," the summary said.

Info via Reuters report.