- Strong outcome in next year’s wage talks would be a necessary condition, though not a sufficient one to contemplate pursuing end of negative rates
- Want to look at various factors beyond wages in deciding future policy changes
Essentially, the message that they are trying to send is that they are flexible but only with the right conditions at play. However, given how tough it was to already convince a policy tweak after the extremely positive wage developments in March, we really might have to wait until next spring again for any chance of further change by the BOJ.