BoJ Consider, Reject Targeting the Forecast
The Bank of Japan had one vote (Ms. Sayuri Shirai) for open-ended QE this month – and there’s a nice teaser in the minutes:
A different member noted that one possibility would be to immediately put into effect the open-ended asset purchasing method, followed by an extension of the Bank’s projection period by one year, and continue with the virtually zero interest rate policy, as well as the asset purchases, until the median of the Policy Board members’ CPI forecasts exceeded 1.5 percent. However, these two members said that they were simply raising these issues at this meeting and would follow the majority view of the Policy Board.
Let’s hope Haruhiko Kuroda can move the “majority view” towards this oh-so-radical idea of “targeting the forecast”.