Bank of Japan adds to easing, cites uncertainty

Posted by Forexsq 680 days ago (http://www.marketwatch.com)
img The Bank of Japan announced Thursday it would add about 10 trillion yen ($119 billion) to its asset-purchase program, while keeping its policy interest-rate target at 0 to 0.1%, citing "a high degree of uncertainty concerning Japan's economy." The announcement, coming at the end of the central bank's regular policy meeting, briefly sent Tokyo stocks tumbling and the yen rising, only to regain their previous levels minutes later, as investors digested the bank's statement. While some analysts had said the central bank might issue a target for inflation, the Bank of Japan said it would wait until its next meeting to discuss "the medium- to long-term price stability that the bank aims to achieve in the conduct of monetary policy." The central bank also sounded a downbeat note on the economy, saying Japan would stick to "somewhat weak movement ... for the time being," with the core consumer price index likely to remain flat. Among threat to the economy, it cited "a deceleration phase" overseas, as well as uncertainty surrounding events in Europe, the U.S., and with Japan's recent tensions with China. said that also sounded a more downbeat note on the economy

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