BoJ unlikely to expand QE in near future

The Bank of Japan hold the QE program unchanged. The Bank is unlikely to expand its QE in the imminent future foresees Nordea Bank. The core inflation of the economy is cause of concern as it is accelerating. BoJ governer Kuroda says, the alterative measures for inflation suggest inflation even higher.

 Analysts have retained their old forecasts and claim the inflation will surprise the BOJ on the downside. However, there is a clear indication that the BOJ has a moderate attitude towards the timing in which the 2% inflation target will be met after the October meeting. 

"It seems that the BOJ had accepted not to realise 2% inflation before 2017 rather than initially expected 2015. Thus, it is in no need to ease monetary policy further", argues Nordea Bank.