Bank of Japan watchers pushed back their forecast for the next interest rate hike timing in a dramatic shift from last month, with only a few expecting a move next week, according to the latest Bloomberg survey.
Some 10% of 50 economists predict the BOJ will raise its benchmark rate at the end of a two-day policy meeting on Oct. 30, plunging from 36% in the previous survey, according to the poll. December became the most popular timing with 50% projecting it followed by 38% for January.
Sanae Takaichi, known as an advocate of monetary easing, became Japan’s prime minister Tuesday after unexpectedly becoming head of the ruling Liberal Democratic Party earlier this month. While Takaichi has refrained from direct comments on the pace of rate hikes, economists say that her presence at the helm of Japan means that the BOJ needs even more careful communication with the government when hiking rates.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.