Latest news with #Noguchi
Yahoo
22-05-2025
- Business
- Yahoo
BOJ policymaker rules out intervention to stem bond yield spike
By Leika Kihara TOKYO (Reuters) -Bank of Japan board member Asahi Noguchi said on Thursday he saw no need for the central bank to intervene in the bond market to stem recent sharp rises in super-long yields, describing the moves as "rapid but not abnormal." Noguchi, a former academic regarded as one of the central bank board's dovish members, also said the central bank must pause its interest rate hikes for the time being until there is more clarity on the impact of U.S. tariffs on the economy. While the outcome of Tokyo's trade negotiations with Washington may become clearer, U.S. tariffs will likely exert "quite strong downward pressure" on the economy, he said. "When the outlook is so uncertain, there's no point acting on interest rates," he told a news conference, stressing the need to put off raising rates for the time being. "It's important to avoid moving and scrutinise developments." While diminishing prospects of a near-term rate hike have kept shorter-term yields stable, those on super-long Japanese government bonds (JGBs) soared to all-time highs this week amid calls from politicians for big fiscal spending. The spike in yields has led some analysts to speculate that the BOJ could ramp up bond buying in an emergency operation or issue a verbal warning against rapid market moves. "Bond yields, at times, make volatile moves reflecting various views on the economic outlook," Noguchi said. "At times, central banks must take action to stabilise markets. I don't think we're seeing a situation where we need to do so," he said, emphasising the need to allow market forces to determine bond yield moves. The BOJ last year exited a massive stimulus programme that included a policy capping bond yields around zero. It raised its short-term policy rate to 0.5% in January, on the view Japan was making progress in durably meeting its 2% inflation target. At its policy meeting next month, the BOJ will conduct an interim review of its bond tapering plan running through March and come up with a programme for April 2026 onward. Noguchi said he saw no need to make any major changes to the current plan. In compiling the reduction plan for April 2026 onward, the central bank might need to take into account how much it eventually wants to trim its huge balance sheet, he said. "It's true the BOJ needs to reduce its huge bond holdings," he said. "But the priority should be to avoid disrupting markets," to scale back its balance sheet. Fears of a U.S. tariff-induced global slowdown forced the central bank to sharply cut its growth forecasts at its April 30-May 1 policy meeting. That has cast doubt on the view that sustained wage hikes will underpin consumption and the broader economy. A Reuters poll showed most economists now expect the BOJ will hold rates steady through September to assess the effects of U.S. tariffs, although a slight majority still see at least a 25-basis-point hike by year-end. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Mainichi
22-05-2025
- Business
- The Mainichi
BOJ should take cautious stance on rate hikes: board member
TOKYO (Kyodo) -- The Bank of Japan should adopt a cautious approach on raising short-term interest rates as it needs to take time to examine the economic impact of its actions, a board member said Thursday. "I believe it is crucial that the bank take a measured, step-by-step approach," Asahi Noguchi, seen as a monetary dove, said in a speech, describing such a stance as taking "sufficient time" to assess the effects each time the BOJ raises its policy rate. The BOJ has raised the key rate three times since March last year, when it carried out its first hike in 17 years, as it moves to normalize monetary policy following a decade-long framework of unconventional easing. On the BOJ's reduced purchases of Japanese government bonds, which began in August last year, Noguchi said he sees no need "at this point to make any major changes," with the central bank expected to decide on whether to review its current plan at the next policy meeting in June. As part of measures to normalize monetary policy, the BOJ decided last July to reduce asset holdings on its bloated balance sheet, with the plan covering the period through March 2026. "The bank will need to examine the reduction plan for April 2026 onward from a longer-term perspective," Noguchi said, adding the BOJ has sufficient time to reduce the size of its balance sheet, which would be desirable to maintain market stability.
Business Times
22-05-2025
- Business
- Business Times
Bank of Japan policymaker rules out intervention to stem bond yield spike
[TOKYO] Bank of Japan board member Asahi Noguchi said on Thursday (May 22) he saw no need for the central bank to intervene in the bond market to stem recent sharp rises in super-long yields, describing the moves as 'rapid but not abnormal.' Noguchi, a former academic regarded as one of the central bank board's dovish members, also said the central bank must pause its interest rate hikes for the time being until there is more clarity on the impact of US tariffs on the economy. While the outcome of Tokyo's trade negotiations with Washington may become clearer, US tariffs will likely exert 'quite strong downward pressure' on the economy, he said. 'When the outlook is so uncertain, there's no point acting on interest rates,' he told a news conference, stressing the need to put off raising rates for the time being. 'It's important to avoid moving and scrutinise developments.' While diminishing prospects of a near-term rate hike have kept shorter-term yields stable, those on super-long Japanese government bonds (JGBs) soared to all-time highs this week amid calls from politicians for big fiscal spending. The spike in yields has led some analysts to speculate that the BOJ could ramp up bond buying in an emergency operation or issue a verbal warning against rapid market moves. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'Bond yields, at times, make volatile moves reflecting various views on the economic outlook,' Noguchi said. 'At times, central banks must take action to stabilise markets. I don't think we're seeing a situation where we need to do so,' he said, emphasising the need to allow market forces to determine bond yield moves. The BOJ last year exited a massive stimulus programme that included a policy capping bond yields around zero. It raised its short-term policy rate to 0.5 per cent in January, on the view Japan was making progress in durably meeting its 2 per cent inflation target. At its policy meeting next month, the BOJ will conduct an interim review of its bond tapering plan running through March and come up with a programme for April 2026 onward. Noguchi said he saw no need to make any major changes to the current plan. In compiling the reduction plan for April 2026 onward, the central bank might need to take into account how much it eventually wants to trim its huge balance sheet, he said. 'It's true the BOJ needs to reduce its huge bond holdings,' he said. 'But the priority should be to avoid disrupting markets,' to scale back its balance sheet. Fears of a US tariff-induced global slowdown forced the central bank to sharply cut its growth forecasts at its Apr 30-to-May 1 policy meeting. That has cast doubt on the view that sustained wage hikes will underpin consumption and the broader economy. A Reuters poll showed most economists now expect the BOJ will hold rates steady through September to assess the effects of US tariffs, although a slight majority still see at least a 25-basis-point hike by year-end. REUTERS
Business Recorder
22-05-2025
- Business
- Business Recorder
BOJ should step in only in a ‘severe' bond market rout, policymaker says
TOKYO: The Bank of Japan doesn't need to make big changes to its bond taper plan and should only ramp up buying in times of 'severe market disruption,' a board member said, a sign the bank sees no imminent need to arrest sharp rises in super-long bond yields. Asahi Noguchi, a former academic regarded as one of the central bank board's dovish members, also said the BOJ must move cautiously in raising interest rates to ensure underlying inflation stabilises around its 2% target backed by sustained wage increases. 'It's crucial that the BOJ take a measured, step-by-step approach,' Noguchi said in a speech on Thursday, calling for the need to spend plenty of time examining the economic impact of each rate hike before moving to the next one. Yields on super-long Japanese government bonds (JGBs) soared to all-time highs this week amid calls from politicians for big fiscal spending, potentially complicating the BOJ's efforts to normalise monetary policy. The BOJ last year exited a massive stimulus programme that included a policy capping bond yields around zero. It raised its short-term policy rate to 0.5% in January, on the view Japan was making progress in durably meeting its 2% inflation target. At its policy meeting next month, the BOJ will conduct an interim review of its bond tapering plan running through March and come up with a programme for April 2026 onward. 'In my view, it is unnecessary at this point to make any major changes to the current plan,' Noguchi said. 'That said, the bank will need to examine the reduction plan for April 2026 onward from a longer-term perspective,' he said, adding that the BOJ has plenty of time to reduce the size of the balance sheet. BOJ to keep hiking rates if economy rebounds from tariff hit, deputy governor says The BOJ allows markets to set long-term interest rates, while leaving itself some flexibility to change the amount of its bond buying 'in case of sudden market swings', Noguchi said. 'However, such an unusual measure will only be implemented during times of severe market disruption,' he said on the threshold for ramping up the BOJ's bond buying through emergency market operations. Fears of a US tariff-induced global slowdown forced the BOJ to sharply cut its growth forecasts at its April 30-May 1 policy meeting. That has cast doubt on the view that sustained wage hikes will underpin consumption and the broader economy. While consumer inflation has exceeded 2% for three years, Noguchi said the increase was driven mostly by rising import costs rather than prospects of sustained wage gains. Services inflation, as measured by the consumer price index, is still far from stably exceeding 2%, suggesting that many firms have yet to pass on rising wage costs, Noguchi said. 'As the boost to inflation from rising import costs dissipates, we must see services price inflation exceed 2% for Japan to sustainably and stably achieve our price target,' Noguchi said.
Tatler Asia
06-05-2025
- Lifestyle
- Tatler Asia
Not A Hotel Toji reimagines luxury mountain living in Minakami, Japan
Known as the 'Water City,' Minakami provides an ideal backdrop for Toji's water-inspired design—a modern reinterpretation of the traditional Japanese mountain hut. Straight-line copper plate roofing envelops the structure, forming a distinct silhouette that will weather and patinate over time, maturing in harmony with its landscape. See also: Home tour: A tantalisingly dark, Japanese-inspired apartment in Singapore's District 15 Set in a historic hot spring town, with pristine water drawn from the headwaters of the Tone River, the property offers sweeping views that change dramatically with the seasons—from snow-covered landscapes in winter to cherry blossoms in spring, verdant summer greenery and fiery autumn foliage. Above The open-plan living area with a six-metre ceiling, a wood stove, and Noguchi's Akari lamps casting a soft glow Each two-storey villa spans approximately 252.28 sqm and accommodates up to eight guests. The ground floor houses two bedrooms, a shower room and private parking, while the upper level is dedicated to the main living areas. The upstairs living space features a six-metre ceiling that casts intentional shadows, guiding the eye toward the valley below. A working wood stove brings warmth and atmosphere, while Isamu Noguchi's Akari lamps cast a soft glow above the eight-person dining table–perfect for gathering with family and friends amid the mountain stillness. Don't miss: Upcoming Not A Hotel Setouchi fuses Scandinavian and Japanese design values Photo 1 of 3 A 15-metre infinity pool envelops the living area Photo 2 of 3 The private sauna overlooks the plunge pool Photo 3 of 3 The hot spring bath framed by black architectural walls Surrounding the living space is Toji's defining design element: water. Wellness features include a private sauna with views over a cold-water plunge pool and a 15-metre infinity pool. Meanwhile, a natural open-air hot spring bath is framed by black architectural walls and opens onto vistas of the Minakami mountain ridges, offering the choice of seclusion or immersion in the natural setting. Read more: Home tour: A family home in Kuala Lumpur inspired by the Japanese concept of shared rituals Above Framed views from the wabi-sabi bedrooms The bedrooms provide a peaceful counterpoint: rectangular windows frame views of the forest and shifting light, while plaster-textured walls and tatami mat flooring reflect the Japanese wabi-sabi aesthetic—an appreciation of simplicity and imperfection. See also: 4 natural wabi-sabi homes in Malaysia Above The adjacent guests-only restaurant, Kigi, centred around the elemental themes of fire and water Adjacent to the villas is Kigi, a guests-only restaurant centred around the elemental themes of fire and water. Overseen by a resident chef, its seasonal menus highlight regional flavours through refined yet uncomplicated dishes. Dining options include Yamato pork stew, medicinal wild game stew and charcoal-grilled meals, all prepared over a custom wood-fire grill using ingredients sourced from Minakami and nearby areas. Don't miss: Sakana Japanese Dining: Where tradition meets inclusivity Above Sweeping views that change dramatically with the seasons First announced in August 2023—and with all five villas reserved prior to completion—Toji operates under Not A Hotel's distinctive co-ownership model. Villa owners are allocated nights at their own property and may exchange them for stays at any other location within the company's network—an innovative approach that offers flexibility, lifestyle access and investment value across Japan. NOW READ Talking hospitality, craft and honest design with Japanese architect Keiji Ashizawa 5 profound Japanese design principles that are very demure and very mindful Explore the ingenious architecture of Shishi-Iwa House in Karuizawa, Japan, by Pritzker Prize laureates Credits Photography: Kenta Hasegawa, Newcolor inc
