Global Data Pod

Global Data Pod Japan: USD/JPY and BoJ’s potential move


Listen Later

Featured in this podcast are Hiroshi Ugai and Benjamin Shatil. The pace of recent yen depreciation has been remarkable, and the debate around its effect on the Japan economy is understandably intensifying. Under such conditions, concerns about the rise in import prices are mounting, but the impact of yen depreciation on inflation has been mild so far, while that on growth is still positive. That said, current yen depreciation highlights a divide between direct sufferers and beneficiaries, raising political issues. In particular, attention should be paid as well to its impact on corporate and household sentiment. BoJ is unlikely to adjust YCC due to yen depreciation unless it faces a significant rise in political pressure, in which case the BoJ could temporarily allow the 10yr yield to exceed the upper band. If any relief in yen weakness is temporary, the impact would not last. More drastic measures would be from the income distribution side if needed. At this point, currency intervention is not on the table.
This podcast was recorded on Apr 20, 2022.
This communication is provided for information purposes only. Institutional clients can view the related report at https://jpmorganmarkets.com/research/content/GPS-4061110-0, https://jpmorganmarkets.com/research/content/GPS-4061171-0 and https://jpmorganmarkets.com/research/content/GPS-4062330-0 for more information; please visit www.jpmm.com/research/disclosures for important disclosures. © 2022 JPMorgan Chase & Co. All rights reserved.
...more
View all episodesView all episodes
Download on the App Store

Global Data PodBy J.P. Morgan Global Research

  • 4.4
  • 4.4
  • 4.4
  • 4.4
  • 4.4

4.4

22 ratings


More shows like Global Data Pod

View all
Bloomberg Surveillance by Bloomberg

Bloomberg Surveillance

1,182 Listeners

Bloomberg Intelligence by Bloomberg

Bloomberg Intelligence

402 Listeners

Notes on the Week Ahead by Dr. David Kelly

Notes on the Week Ahead

192 Listeners

Insights Now by Dr. David Kelly and Gabriela Santos, J.P. Morgan Asset Management

Insights Now

95 Listeners

Exchanges by Goldman Sachs

Exchanges

979 Listeners

Odd Lots by Bloomberg

Odd Lots

1,861 Listeners

Eye On The Market by Michael Cembalest

Eye On The Market

277 Listeners

UBS On-Air: Market Moves by Client Strategy Office

UBS On-Air: Market Moves

178 Listeners

Making Sense by J.P. Morgan

Making Sense

61 Listeners

Thoughts on the Market by Morgan Stanley

Thoughts on the Market

1,280 Listeners

At Any Rate by J.P. Morgan Global Research

At Any Rate

75 Listeners

Macro Hive Conversations With Bilal Hafeez by Bilal Hafeez

Macro Hive Conversations With Bilal Hafeez

96 Listeners

FICC Focus by Bloomberg Intelligence

FICC Focus

26 Listeners

The Macro Trading Floor by Alfonso Peccatiello & Brent Donnelly

The Macro Trading Floor

213 Listeners

The Markets by Goldman Sachs

The Markets

74 Listeners