Posted 4/1/2024, 1:40:00 AM
BOJ Rate Hike Not Expected Until October as Central Bank Monitors Inflation, Wage Growth
- Next BOJ rate hike likely in October at earliest according to former BOJ official and economist Tsutomu Watanabe
- Watanabe believes BOJ will take time to gauge inflation trends before hiking again
- Key data to watch is how strong wage gains translate into higher service prices
- Watanabe says BOJ should communicate plan for quantitative tightening this year
- It's fine for BOJ to take decades or more to shrink balance sheet from current ¥600 trillion level
