BOJ’s Koeda: No Need for Excessive Caution on Rate Hikes

Koeda's pushback against "excessive caution" signals that the internal debate at the BOJ has shifted from whether to hike to how quickly, which matters for global carry trades funded in yen. The explicit nod to upside price risks, paired with a view that conditions are still accommodative, suggests the board sees room to normalise without choking growth. For crypto and other risk assets, the transmission channel is the yen and JGB yields rather than Japanese demand itself. Whether other board members echo Koeda's framing, and whether the 2% trend holds, is the open question.