In the last two months, the bank has taken almost 16 trillion yen, or about $140 billion, in cash deposits out of the country's banks. The country's money supply has fallen by almost 10%. The Bank of Japan isn't finished pumping out the liquidity that it had pumped in. That should take a few more months. And when it is finished, the Bank of Japan is expected to start raising short-term interest rates.
Can anyone point me to more information on the BoJ's recent moves?
Also by what mechanism is the Bank reducing the money supply? Is it by increasing the margin requirements for securities? Bank reserve requirements? Interest rates? (Jubak above appears to imply that the BoJ has not even started using interest rates as a tool yet).
And what exactly is this Japan Post entity? http://mdn.mainichi-msn.co.jp/business/news/20060524p2g00m0bu038000c.html
Thanks. --raghu.
- Re: Standing up to Fox-TV, (continued)
- Re: Standing up to Fox-TV, Jim Devine Wed 24 May 2006, 15:15 GMT
- Introducing John Bolton, Israeli Diplomatic Corp..., Leigh Meyers Wed 24 May 2006, 14:15 GMT
- India, Iran, Pak hold trilateral talks on pipeline, Ulhas Joglekar Wed 24 May 2006, 14:15 GMT
- Fwd: BOJ & the SM, Jim Devine Wed 24 May 2006, 14:15 GMT
- Re: Fwd: BOJ & the SM, raghu Wed 24 May 2006, 20:01 GMT
- Terror Bill Would Limit Florida Scholars' Travel, Michael Hoover Tue 23 May 2006, 16:29 GMT
- Sri Lanka: A war of diminishing returns, Ulhas Joglekar Tue 23 May 2006, 15:42 GMT
- Iran blames border province violence on US, Britain, Ulhas Joglekar Tue 23 May 2006, 13:09 GMT
- Canada's Poor face Emergency :UN, ken hanly Tue 23 May 2006, 10:42 GMT