Japan monetary policy?

  • Problem for Japan is that economy is looking better but still no signs of much-needed in inflation (big fear is for deflation coming back to spook the economy).
  • Central bank (BoJ) recently saying economic outlook ok and signs some signs of inflation, so therefore monetary easing on hold.
  • IMF warning recovery is weak hence 3 arrows of Abenomics should continue (and therefore monetary easing should continue).

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