BOJ Maintains JGB Yield Target

The video discusses the Bank of Japan's (BOJ) decision to maintain the JGB yield target at zero percent, marking the first anniversary of the Yield Curve Control program. It highlights the changes in the BOJ board, with new members expected to align with Governor Kuroda's policies. However, Kataoka dissents, arguing that the current yield curve effect is insufficient to achieve the 2% growth goal. The video also introduces a new voice in the BOJ, raising concerns about the feasibility of the CPI target. The discussion concludes with a debate on whether maintaining the 2% CPI target is sensible.

What was the BOJ's decision regarding the JGB yield target?

• Maintain it at zero percent

• Increase it to 1%

• Decrease it to -0.5%

• Remove the target entirely

What was the result of the BOJ's vote on maintaining the current policy?

• Unanimous approval

• 7 to 2 in favor

• 6 to 3 against

• 8 to 1 in favor

What concern did Kataoka raise about the CPI outlook?

• It is not detailed enough

• It is irrelevant to the current policy

• It is too optimistic

• It will not reach the 2% growth goal

What is the fundamental issue raised by Kataoka's dissent?

• The feasibility of the 2% CPI target

• The impact of global markets on Japan

• The effectiveness of the board members

• The BOJ's communication strategy

What is one argument against dropping the 2% CPI target?

• It is unnecessary as the target is already met

• It would confuse international investors

• It might signal premature tightening by the BOJ

• It would lead to economic instability