Minutes from the BOJ's April 26 meeting show some board members believe the link between...

|By:, SA News Editor

Minutes from the BOJ's April 26 meeting show some board members believe the link between inflation expectations and actual inflation is tenuous, underscoring the notion that inflation will remain below the BOJ's official forecast of 1.9% in 2016. Additionally, some members noted the apparent contradiction in buying bonds to keep rates low while simultaneously promoting inflation (which would put upward pressure on yields). Some commentators have flagged this perceived inconsistency as a contributing factor to recent volatility in the market for Japanese government bonds (JGBL).