Japan economy still faces many uncertaintiesPrices remain highMust pay attention to financial, FX markets and their impact on economy, pricesFX impact has become larger than in the past as firms are more eager to raise wages, pricesWill keep adjusting degree of policy easing depending on economic, price outlookNeed more data on wages outlook and more information on wage trendsUncertainties surrounding US economic policies remain largeWill guide policy from standpoint of sustainably and stably achieving price target
If the call here is to keep waiting on wages, then there could be a line of thinking that they might wait until the spring wage negotiations again before making up their minds. USD/JPY is pushing higher now, up 0.5% to 155.60 on the day.
This article was written by Justin Low at www.forexlive.com.
