BOJ expands its asset-purchase programme

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Source: Reuters
The Bank of Japan added monetary stimulus for the first time in 4 months and will reconsider its inflation target as incoming Prime Minister Shinzo Abe calls for more action to halt price declines. The nation's central bank expanded the asset-purchase fund from 66 trillion yen to 76 trillion yen.
"The BOJ showed caution by failing to respond to Abe's request immediately," said Hideo Kumano, Chief Economist at Dai-Ichi Life Research Institute. "The bank has been clear that it can't beat deflation on its own. It's still unclear how it will respond to the government's requests."

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