BoJ’s Adachi: No Set Pace in Mind When It Comes to Rate Hikes
Bank of Japan (BoJ) board member Seiji Adachi is back on the wires on Wednesday, commenting on the interest rate and the exchange rate outlooks.
Additional quotes
Markets have stabilized compared with when we saw huge volatility in August.
Risk of sharp Yen falls likely subsided, though watching for any build-up of positions.
Impact of expected new spending package on underlying inflation, which we focus on in setting policy, likely neutral.
Don't have preset image in mind on level of Japan's natural rate of interest, which likely changes due to various factors.
When I talk about sufficient wage hike, hope to see wage hikes next year at least around level achieved this year.
BoJ’s next regional branch managers' meeting in January could offer clues on next year's wage outlook, serve as among factors to decide policy.
No set pace in mind when it comes to rate hikes.
Must scrutinize data particularly on the real economy.
Rate hike so far has had intended effect.
But must avoid falling back into deflation with premature rate hikes.
Risk of upward pressure heightening from yen declines has reduced significantly.
Source: Fxstreet
