25 Apr 2014
Further BoJ easing expected – Danske Bank
FXStreet (Edinburgh) - The BoJ may be forced to further ease its monetary policy in the future, as inflation would turn lower, commented Senior Analyst Morten Helt at Danske Bank.
Key Quotes
“Japan CPI excluding fresh food (the measure that Bank of Japan uses, which excludes the impact from the consumption tax hike in April) rose 1.3% y/y in March”.
“We expect inflation to start declining slightly from May possibly dropping below 1% y/y again during the autumn”.
“In our view, this will eventually force the Bank of Japan to ease again”.
Key Quotes
“Japan CPI excluding fresh food (the measure that Bank of Japan uses, which excludes the impact from the consumption tax hike in April) rose 1.3% y/y in March”.
“We expect inflation to start declining slightly from May possibly dropping below 1% y/y again during the autumn”.
“In our view, this will eventually force the Bank of Japan to ease again”.