BoJ Summary of Opinions: Member sees rising price trend towards 2% target

The Bank of Japan (BoJ) published the Summary of Opinions from its January monetary policy meeting, with the key findings noted below.  

Key quotes

Member notes Japan public's inflation expectations rising as inflation surpasses 2% for fourth consecutive year. 

Member suggests rate hike timing is neutral compared to market expectations. 

Member suggests Japan's economy can handle potential stress from new U.S. administration policies. 

Member sees increasing upside price risks. 

Member sees increased policy flexibility due to likely Fed rate hike pause.

Member urges continued rate hikes to combat deeply negative real interest rates. 

Member suggests gradual adjustment of monetary support in response to rising risk of inflation overshoot. 

Member calls for adjustment of monetary support to prevent excessive easing from causing further yen declines and financial overheating.

One BOJ member sees undesirability in rapid weakening of the yen.

One member warns of the need to monitor the risk of excessive yen correction. 

Market reaction  

Following the BoJ's Summary of Opinions, the USD/JPY pair is up 0.14% on the day to trade at 155.30 as of writing