July 31, 2024 at 07:49AM
Private consumption remains solid despite inflation impact weighing
Wage hikes are becoming more widespread
Rising wages will continue to support private consumption
Doesn’t believe rate hike will have significant negative impact on the economy
Does not have 0.50% policy rate in mind as a ceiling
Will analyse impact of rate hikes up until now when considering additional rate hikes to come
Doesn’t believe economy, prices will slow due to additional rate hike
There was a bit of a mistranslation there, as the point of 0.50% policy rate missed a dropped word on it being a ceiling. USD/JPY is now down to 152.10 on the day. Ueda does say though that a weak yen didn’t have much impact on their price outlook.
This article was written by Justin Low at www.forexlive.com.