Takashi Sanae stated that the central bank's policy is crucial. His ambiguous statement is expected to support the market's expectations of a rate hike.
Japanese Prime Minister Sanae Takichi expressed that monetary policy is crucial for establishing a strong economy and maintaining inflation stability. Although Takichi's statement implies her expectation for the Bank of Japan to align with the overall government policy direction, it also shows that she is trying to avoid going too far and does not explicitly state that the Bank of Japan should reconsider raising interest rates. This middle-of-the-road stance may support the widespread expectation of an interest rate hike by the end of January.
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