{"id":2017554,"date":"2023-08-30T23:41:02","date_gmt":"2023-08-31T03:41:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/boj-policymaker-nakamura-warns-against-premature-monetary-tightening\/"},"modified":"2023-08-30T23:43:36","modified_gmt":"2023-08-31T03:43:36","slug":"boj-policymaker-nakamura-warns-against-premature-monetary-tightening","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/boj-policymaker-nakamura-warns-against-premature-monetary-tightening\/","title":{"rendered":"BOJ policymaker Nakamura cautions against early monetary tightening."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">16<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fboj-policymaker-nakamura-warns-against-premature-monetary-tightening%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2017554&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div class=\"entry-content\">\n<h2>Bank of Japan Board Member: Premature to Tighten Monetary Policy<\/h2>\n<blockquote>\n<p>By Leika\u200d Kihara<\/p>\n<\/blockquote>\n<p>TOKYO (Reuters) &#8211; \u200dBank of Japan board member Toyoaki Nakamura emphasized on Thursday that it was \u200btoo early to tighten \u200dmonetary policy. He argued that recent increases in \u200cinflation\u200c were primarily driven by higher import costs\u200d rather \u2062than wage gains.<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>While many firms\u2064 raised pay this year, Nakamura expressed\u2064 uncertainty \u2063about whether smaller companies can earn enough profits to\u2064 continue hiking wages in the future. As a former executive \u2063of electronics giant Hitachi Ltd, he cautioned that tightening monetary policy before rising prices \u200bare\u200d accompanied \u200dby higher wages would negatively impact domestic demand and corporate profits.<\/p>\n<p>In a speech to business leaders in the \u2063city of Gifu in central\u200d Japan, Nakamura\u2063 stated, \u201cSustainable, stable achievement of our 2% \u200dinflation isn\u2019t in sight yet.\u200d We therefore need more time before shifting to monetary \u2062tightening.\u201d<\/p>\n<h3>Overseas Risks and Differing Opinions<\/h3>\n<p>Nakamura also highlighted\u200c the potential risks to\u200b Japan&#8217;s \u2064economic outlook, including recent weak signs in China&#8217;s economy and the potential fallout from aggressive U.S. <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/federal-reserve-chair-no-interest-rate-hikes-until-inflation-spike\/\" title=\"Federal Reserve Chair: No interest rate hikes until inflation spike\">interest rate hikes<\/a>.<\/p>\n<p>His remarks contrasted with those of another board\u200d member, Naoki Tamura, who \u200cstated on Wednesday that \u2064Japan&#8217;s inflation was\u200b &#8220;clearly in sight&#8221; \u200bof the central bank&#8217;s target. This\u200b suggests that\u200b there is no consensus within the \u2063nine-member board on how soon the Bank of \u2063Japan (BOJ) can \u2063scale back its massive monetary \u200cstimulus.<\/p>\n<h3>BOJ&#8217;s Monetary Policy and Inflation Target<\/h3>\n<p>Under its yield curve control (YCC) policy, the BOJ guides short-term interest rates at minus 0.1% and the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/shares-slide-dollar-dominates-as-rate-hike-fears-mount\/\" title=\"Shares slide, dollar dominates as rate hike fears mount\">10-year government bond yield<\/a> around 0% \u200cto reflate economic growth and \u2064sustainably achieve \u2063its 2% inflation target.<\/p>\n<p>With \u2062inflation having exceeded its target for\u2063 the 16th straight month in July, markets are eagerly awaiting clues from BOJ policymakers on how \u2064soon the central bank \u2063could take\u200c bolder\u2063 steps toward phasing out its radical \u2064stimulus.<\/p>\n<p>BOJ Governor Kazuo Ueda has previously stated that the central bank must <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/boj-policymaker-nakamura-warns-against-premature-monetary-tightening\/\" title=\"BOJ policymaker Nakamura cautions against early monetary tightening.\">maintain\u2062 ultra-low rates<\/a> until \u200bthere is more evidence that Japan&#8217;s inflation can sustainably hit 2%, backed by solid consumption \u2062and wage growth.<\/p>\n<p>  (Reporting by Leika Kihara; Editing\u200c by Christian Schmollinger and Shri Navaratnam)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/boj-policymaker-nakamura-warns\/attachment\/file-photo-a-man-walks-at-the-headquarters-of-bank-2\/\"><\/a><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>Mitch McConnell&#8217;s Case\u2063 for \u200bNot Retiring<\/h2>\n<p>Mitch McConnell makes the case why he shouldn\u2019t retire while Blake Masters could still be trying to join him in \u2063the Senate GOP.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>Arraignment \u200bof Former\u2062 President Donald \u200dTrump<\/h2>\n<p>45th President Donald Trump has been scheduled to be arraigned in Fulton County, Georgia\u2063 on Friday, \u200dSeptember 6th. <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>BlackRock Eases Support for Shareholder Proposals<\/h2>\n<p>The Washington Examiner is reporting that\u2062 BlackRock is \u200ceasing their support for proposals from their shareholders regarding\u200d ESG.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>U.S. Economy Shows Contraction<\/h2>\n<p>GDP Slows at 2.1%:\u200b U.S. Economy Shows \u2064Contraction \u2063from \u2063Initial 2.4% Estimate. Household and Credit Card Debt Peaks; \u200dU.S. Credit Rating Downgraded. <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>Chinese Tech Firms \u200bOpen AI Language Models<\/h2>\n<p>By Josh Ye and Urvi Manoj Dugar (Reuters) &#8211; At least three Chinese tech firms including Baidu, Baichuan\u2062 Intelligent Technology, and Zhipu AI\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>Chinese AI Firms \u200cLaunch \u2063AI Language Models<\/h2>\n<p>SHANGHAI (Reuters) \u2013 Chinese artificial intelligence (AI) firms Baichuan \u200bIntelligent Technology \u2064and Zhipu AI \u2064on Thursday opened their AI large language models\u2026\u200c <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>Google Introduces Generative AI to Search Tool<\/h2>\n<p>(Reuters) \u2013 Alphabet\u2019s Google said on Wednesday it introduced generative artificial intelligence\u2063 to its Search tool for users in India \u200band Japan\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>Salesforce Raises Revenue Forecast<\/h2>\n<p>By\u2062 Zaheer Kachwala (Reuters) &#8211; Salesforce raised its <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wall-street-closes-little-changed-on-fed-policy-fears\/\" title=\"Wall Street closes little changed on Fed policy fears\">annual revenue forecast<\/a> on\u200c Wednesday\u2064 and projected quarterly sales above estimates as it benefits \u2062from\u2026 <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Bank of Japan board member Toyoaki Nakamura stated that it is too early to tighten monetary policy due to inflation being driven by increased import costs rather than wage growth. Although some companies have raised pay, uncertainty remains regarding smaller businesses&#8217; ability to generate profits.<\/p>\n","protected":false},"author":66,"featured_media":2017555,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-2017554","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2017554","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2017554"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2017554\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2017555"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2017554"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2017554"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2017554"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}