BOJ governor Ueda: Will keep adjusting degree of easing if price outlook is realised

January 24, 2025 at 06:35AM

Japan economy is recovering moderately, although some weakness is seen

Global financial markets have been stable as a whole

Must pay attention to financial, FX markets and their impact on Japan’s economy, prices

The board has judged that spring wage negotiations will result in strong hikes again this year

Growing number of firms expressed intentions to continue raising wages steadily

Real interest rates remain significantly negative

Easy monetary conditions will keep supporting the economy as such

Timing and scope of further rate hikes will depend on economy, financial, and price conditions

He’s not playing this as a hike and pause sort of thing. Instead, he’s coming to this with providing justification for the rate hike today and reaffirming that they are on the right path. That as he puts a strong emphasis that the spring wage negotiations will support their case of tightening policy again for this year.

This article was written by Justin Low at www.forexlive.com.

BOJ governor Ueda: Will keep adjusting degree of easing if price outlook is realised