More now, this from the quarterly outlook report:
- Japan’s economy to continue expanding moderately as a trend
- Japan’s economy likely to face impact of global slowdown for time being, though effect on domestic demand to be limited
- inflation to gradually accelerate toward 2%
- risks are skewed toward downside for economy, prices
- Japan’s economy sustaining momentum for hitting 2% inflation, but momentum lacking strength
- Japan’s economy expanding moderately as a trend, though overseas slowdown, natural disasters affecting exports, output, business sentiment
- Consumer inflation hovering around 0.5%
- Inflation expectations are moving sideways
- downside risks regarding overseas economies remain high
- no sign so far of excessively bullish expectations in asset markets, financial institutions’ activities
- prolonged downward pressure on financial institutions’ profits from low rates could destabilise financial system
- risk of financial system destabilising not big for now as financial institutions have sufficient capital bases
Quick Headlines via Reuters