Goldman Sachs thinks the Bank of Japan framework will largely be left unchanged
From Goldman Sachs:
At the crux of this assessment will be discussion on the transmission mechanism of the policy effects and the possible factors that have hampered this mechanism given that the central bank has failed to achieve its 2% price stability target despite adopting unprecedentedly large-scale monetary easing. Though the central bank achieved initial success in lifting inflation and hence inflation expectations, the pick-up in inflation has failed to be sustained. While the BoJ has pointed to external factors (weakness in emerging markets, lower oil prices) for this weakness, the tightening in financial conditions this year would have also negatively impacted activity and price trends.
