Jul 8
Japan: Bank of Japan preview
With signs that the economy is stabilising and financial stress easing, we do not expect BoJ to announce new quantitative easing measures in connection with the close of its monetary meeting tomorrow. BoJ’s view of the economy is expected to be marginally more positive. However, a substantial change in its view of the economy is more likely to happen at the July meeting. We expect BoJ to start tightening in Q3 10. However, a ‘technical’ rate hike to improve the functionality of the money
