MNI BRIEF: BOJ Kataoka: High CPI Won’t Lead Policy Tightening

Bank of Japan board member Goushi Kataoka said on Thursday that monetary policy will not be tightened even as consumer price gains will be prolonged on higher imported crude oil costs with the 10-year-bond yield reaching 0.23%, the highest since Feb. 10.

“The underlying price trend excluding special factors remains weak, meaning the price momentum to gain uptrend is weak,” he told reporters, see: MNI BRIEF:BOJ Kataoka: CPI Rise Won’t Last; Easy Policy Needed. The BOJ seeks the 10-year yield curve around plus and minus 0.25% in a range set in March 2021.

Kataoka added that Japan’s economy will not fall into stagflation.