JP: BoJ MPB Minutes

Tue Aug 11 18:50:00 CDT 2015

The Bank of Japan published minutes of its July 14 and 15 meeting. At that time, the BoJ said it would continue to buy JGBs at annual pace of Y80 trillion. The vote to maintain its policy was 8 to 1. Takahide Kiuchi voted against the decision once again, arguing that a reduced pace of purchases (¥45 trillion) was appropriate.

Three members of the monetary policy board are skeptical about the bank's latest, delayed timeframe of anchoring 2 percent inflation "around" the first half of fiscal 2016 while none of them called for more easing. However, a majority of the MPB still believe Japan can obtain its 2 percent inflation target around the six month period ending September 2016.

Minutes follow monetary policy board meetings with a four to five week lag. For example, minutes released on June 19 were for the meeting held on May 21 and May 22.

Investors who want a more detailed description of Bank of Japan opinions will generally read the minutes closely. The MPB may issue a statement after its monthly meeting but the minutes will be much more detailed. In particular they will reveal who voted for and against the Committee's decisions and provide a more detailed description of the MPB's thinking. As such, the minutes are a market mover as analysts parse each word looking for clues to future policy.

Once Every 3-4 weeks.