BOJ's Ueda warns temporary energy shock could become persistent

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TOKYO, May 27 : Bank of Japan Governor Kazuo Ueda said on Wednesday central banks should not look at oil prices in isolation because a temporary energy shock can become persistent if it feeds into wages, expectations, and price-setting behavior. Comparing various energy shocks Japan experienced in past decades, Ueda said the same oil price increase can have very different effects on wages, expectations, demand and currency rates depending on the initial conditions at which they hit. "If

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BOJ's Ueda warns temporary energy shock could become persistent https://www.channelnewsasia.com/ - 06:09