Kiuchi speaking with media now following his earlier speech
- Frequently raising yield target may spur speculation of further hikes, make it hard for BOJ to control yields
- Increasing BOJ's JGB buying comes at a cost
K, tks
Via Reuters
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More (via Bloomberg):
- Bank of Japan has difficulty implementing market operations for YCC
Costs to the BOJ for increasing JGB purchases - Is a chance that BOJ monetary policy could get stuck
- Vital to reduce JGB purchases in an orderly fashion
- Damaging BOJ balance sheet a headwind for stable prices
- Increasing BOJ balance sheet has large costs
- Could be a big shock to BOJ finances at exit
More:
- Dangerous for the Bank of Japan to believe it must achieve 2% inflation target at all cost
Meanwhile the yen is not doing much at all on all this.