BOJ Discussed Worries about Price Upward Deviation in Jan.

   Tokyo, Feb. 3 (Jiji Press)--The Bank of Japan discussed worries raised by some policymakers about a possible upward deviation of prices at its latest monetary policy meeting Jan. 23-24, the BOJ said Monday.
   One of them said that the consumer price index could "deviate upward" toward fiscal 2025 from the central bank's baseline scenario due to further progress in moves to reflect cost increases in sales prices and the yen's depreciation, according to a summary of opinions at the meeting.
   Many members supported the idea of raising the bank's policy rate, with one opinion calling for a hike to 0.5 pct. At the meeting, the BOJ decided to raise its target for the unsecured overnight call rate, a key interbank rate, to around 0.5 pct from 0.25 pct.
   On the impact of upcoming economic policy measures by U.S. President Donald Trump, a member warned that "if (U.S.) inflation resurges or interest rates rise further, this will push down private consumption...through a decline in stock prices."
   Regarding Japan, one opinion said that wage hikes to be agreed in the 2025 "shunto" labor-management negotiations "are likely to be at least at levels comparable to those seen last year."

(2025/02/03-12:45)

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