<ul><li>US interest rates are declining, so don't expect yen to weaken much further</li><li>Widening of yield band is an extension of existing BOJ policy</li><li style="" class="text-align-justify">Given Japan's economic fundamentals, difficult to envisage a fundamental change in monetary policy</li></ul><p style="" class="text-align-justify">The takeaway from her comments is that what the BOJ has done is fitting with their policy framework. Adding that even with a review of the central bank's policy during the past decade, it is difficult to imagine a major change in their existing policy stance. She argues that instead, the BOJ should focus on boosting flexibility.</p>
This article was written by Justin Low at www.forexlive.com.