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BOJ Makes Bold Shift as Yen Risks Grow Too Big to Ignore
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Insight: BOJ makes bold shift as yen risks grow too big to ignore
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As aggressive U.S. interest rate hikes look like they might be nearing an end, Japan's central bank faces its own tricky decision this week over whether it should take another step towards phasing out its controversial yield control programme. While inflation has held above the Bank of Japan's 2% target for more than a year, Governor Kazuo Ueda has vowed to keep ultra-loose policy until he is more convinced the economy can weather global headwinds and allow firms to keep hiking wages next year. At the two-day meeting ending on Friday, the BOJ is expected to maintain its yield curve control (YCC) targets at -0.1% for short-term interest rates and 0% for the 10-year bond yield.
Japan s core consumer prices
rose 3.3% in June from a year earlier, government data showed on
Friday. The increase in the core consumer price index , which
excludes volatile fresh food.
Japan s inflation may have peaked, no imminent change seen to BOJ policy
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