During the Bank of Japan’s (BOJ) post-monetary policy meeting press conference on Friday, Haruhiko Kuroda stated that uncertainty about the economic outlook is significant due to the coronavirus.
Japan’s economy is still in a bad situation, but it is improving.
Globally, economies are recovering.
Consumption is at a standstill as a result of low service-sector spending.
For the time being, Japan’s economic activity will stay low, but it is expected to improve as vaccines progress.
Capex is improving, although there are still some symptoms of weakness.
For the time being, consumer inflation is expected to linger around 0%, before gradually increasing.
The price risks are tilted to the downside.
If necessary, I will not hesitate to take additional relaxing measures.
For the time being, economic activity is expected to stay below pre-pandemic levels.
You want to keep a careful eye on Japan’s economic situation.
As markets analyze Kuroda’s comments, which came as no surprise, the USD/JPY remains stuck in a range around 110.00, unable to move the yen./n
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