Zero Hedge: Imagine you are a central bank which has done QE for 30 years, kept rates negative for almost a decade, purchased more than 100% of the country’s GDP in bonds, and is actively propping up the stock market by buying billions in ETFs and REITs, and still your economy remains stagnant? Well, if you are Kuroda you stay the course and hope for a miracle, but if you are Goushi Kataoka, the BOJ governor who is rapidly emerging as Turbo-Kuroda and perhaps angling to be the next head of the Japanese central bank, the answer is simple: you do even moar.
” … and do not harm the oil and the wine.” Rev. 6:6
Speaking in a briefing Kataoka, who joined the BOJ in 2017, said on Thursday that the coronavirus pandemic may weigh on the economy – which had never managed to stabilize ever since Kuroda unleashed monetary hell in 2012 – longer than initially expected, warning of heightened risks to the central bank’s forecast of a moderate, export-driven recovery. Kataoka also stressed the BOJ’s readiness to ramp up stimulus if needed, reinforcing market expectations Japan would lag other countries in exiting crisis-mode policies.
“Given recent domestic and global economic developments, the need for bolder steps is heightening,” Kataoka said. Read More
