Bank of Japan Governor Ueda comment hitting the news. he is speaking before parliament.

Says that the Bank will strive to guide well-balanced policy taking into account effect and cost of policy measures.

It’s the

• taking into account effect and cost of policy measures

Ueda remarks:

• Will strive to guide well-balanced policy, taking into account
  effect, cost of policy measures
• We projected in
  April quarterly report that consumer inflation will slow in latter
  half of current fiscal year
• There are various
  uncertainties on inflation outlook
• We are seeing change
  in corporate price-setting behaviour that works to push up inflation,
  as well as strong growth in this year’s wage negotiations
• Will scrutinise
  various data in producing next quarterly forecasts in July

• Consideration toward fiscal policy won’t hamper BOJ from making
  necessary decisions upon exit from ultra-loose policy
• My belief is that
  govt recognises BOJ’s basic stance on monetary policy

The Bank of Japan next meet on June 15 and 16. The July meeting Ueda mentions is scheduled for July 27 and 28.

That’s interesting to markets. There are significant costs to the Bank of Japan’s long in place easy monetary policy. If these are assessed as outweighing the benefits it’ll give Ueda a way out.

Ueda never looks as relaxed as his predecessor Juroda did

This article was written by Eamonn Sheridan at www.forexlive.com.