BOJ Board Debates Faster Rate Hikes

BOJ minutes show board members pushed for faster hikes The Bank of Japan's board debated mounting price risks despite the June rate hike. The board's emphasis on firms broadening price hikes across a wider range of goods points to a risk that headline inflation surpri

BOJ minutes show board members pushed for faster hikes

The Bank of Japan’s board debated mounting price risks despite the June rate hike.

The board’s emphasis on firms broadening price hikes across a wider range of goods points to a risk that headline inflation surprises to the upside.

The observation that inflationary pressure could persist even if the Middle East conflict ends suggests the board sees some of the current price pressure as structural.

The market is likely to keep pricing a meaningful probability of a hike at the next meeting.

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