More from BOJ dep Gov Uchida: Appropriate to adjust degree of monetary easing

Bank of Japan deputy governor Uchida

• If economy, prices move in line with projections, it is appropriate
  to adjust degree of monetary easing
  degree, speed of fx moves’
  impact on prices bigger than in past
  weak yen and subsequent
  rise in import costs pose upside risks to inflation
• Short-term interest
  rate, at 0.25%, is still very low on real basis, so we continue to
  support economy with very loose policy
• Given rapid market
  volatility, we need to maintain current level of monetary easing
• Stock market
  volatility affects corporate activity, consumption so is important
  factor in guiding monetary policy
• Reversal of weak yen
  means risk of inflation overshoot has diminished, which would affect
  our policy
• Expect Japan’s
  consumption to stay solid
• Changes seen in Japan’s labour market are structural and irreversable
• Over 10 years of
  massive monetary easing has caused various side-effects

Earlier:

• BOJ deputy governor Uchida says the Bank’s interest rate can change if needed
• USD/JPY surging on Uchida speech

USD/JPY rising rapidly:

This article was written by Eamonn Sheridan at www.forexlive.com.