BOJ keeps policy steady as Fed sticks to rate-hike path

by Dramelin 7:30 AM 0 comments

The Bank of Japan kept monetary policy steady on Thursday in the wake of the U.
S.
Federal Reserve`s second interest rate hike in three months, underscoring the diverging policy paths of major global central banks.
Economists had expected no change in the BOJ`s policy settings as rising global protectionist sentiment and an expected series of U.
S.
rate hikes overshadow budding signs of recovery in the trade-reliant Japanese economy.
Kuroda, who will attend this week`s Group of 20 finance leaders` meeting in Germany, may also shed light on how the BOJ will defend its ultra-loose policy from any U.
S.
criticism it is exploiting a weak yen to gain a competitive trade advantage.
Investors are now focusing on Governor Haruhiko Kuroda`s post-meeting briefing at 0630 GMT for clues on how the Fed`s move could affect the BOJ`s decision on whether and when to pull back its massive stimulus programme.