Bank of Japan expected to maintain policy, signals shift towards data-driven approach

ANZ Bank has projected that the Bank of Japan (BoJ) will uphold its existing monetary policy in the imminent meeting scheduled for Friday, with no alterations anticipated. This forecast, released on Tuesday, also predicts a subtle modification in the BoJ's language, implying a transition away from its past willingness to consider further easing maneuvers.

The bank's current governor, Ueda, is expected to emphasize this alteration, marking a significant departure from the earlier 'behind-the-curve' strategy. This transformation could be perceived as the BoJ shifting from a reactive approach to one that is more proactive and centered on data.