Bank of Japan Deputy Governor Uchida repeating the comment from his boss, Governor Ueda earlier:
- the Bank needs to patiently continue monetary easing
- Uncertainty high re Japan’s economy
- the Bank’s decision in July to make the JGB 10 year yield target flexible is aimed at flexibility in responding to upside and downside risks
- we are not in a situation where achievement of the BOJ’s 2% inflation target is in sight
And adds in an implied intervention threat on the yen::
- need to closely watch FX markets
BoJ’s Uchida
Ueda earlier: