Mizuho: Tokyo CPI overreacted, Japanese central bank expected to stand pat next month

Kins data 29th November news, Mizuho Securities strategist Shoki Omori expects that the Japanese Central Bank will maintain policy stability next month. “The market’s reaction to the Tokyo CPI results is excessive,” he said, “it seems that algorithmic trading is starting to take effect, taking advantage of this opportunity to short the US dollar against the Japanese yen.” Omori pointed out that from the detailed CPI data, “there is not much change in demand-driven inflation projects,” and the Central Bank closely follows these projects to find signs of whether the price pump is sustainable.