00:00The BOJ stood pat today. How much is the rise in oil prices being factored in by the BOJ?
00:07The situation in the Middle East and higher oil prices very prominent in the BOJ statement.
00:12The BOJ kept the rate steady, as you said, as expected by all economists surveyed by Bloomberg.
00:18But those comments around the price of oil that they would be leading to inflationary pressures was very key.
00:24Of course, inflation has stayed above the BOJ's 2 percent target for more than four years already.
00:30And oil is a huge risk for this economy.
00:33We're talking about Middle Eastern oil accounting for more than 90 percent of oil imports for Japan.
00:38And we're not just talking about oil. We're talking about petroleum byproducts like NAFTA, for example, the bulk coming from
00:45the Middle East.
00:46All of this could lead to the trade deficit widening here in Japan, putting more pressure on the Japanese yen.
00:52That's another key risk that policymakers here in Japan are watching.
00:56And we have seen Finance Minister Katayama already talk about how higher oil prices are affecting currency trends.
01:04This could be a key risk for the BOJ that's a standing path, despite the fact that we're seeing a
01:09stronger wage growth momentum across the country.
01:13We are now seeing the yen hovering towards that 160 level.
01:17Not a big impact coming from this decision today that was pretty much expected.
01:22I don't think so much fear for the best racism needed right away in Japan, but we have to replace
01:22that?
01:22Theì–´ Institute oflemeider Network.
01:22You
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