“The Bank of Japan will continue QQE until the inflation target is reached“Central bank governor Kazuo Ueda said on Tuesday.
Additional comments
Inflation expectations have remained low due to prolonged zero inflation and deflation.
Inflation and inflation expectations are rising.
In Japan a shift is gradually taking place in the norm that the public acts on the assumption that wages and inflation will stay low.
There is a gradual shift away from the deflationary mentality, according to which it is difficult for prices and wages to rise.
When the inflation target is reached, inflation expectations will also be at 2%.
Market reaction
At time of writing, the USD/JPY pair is trading near 139.50, down 0.09% on the day.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
