Japanese Prime Minister Fumio Kishida made comments on wage-price increases and monetary policy in an interview with the Financial Times (FT) on Tuesday.

Key quotes

“Central bank needed to maintain its policy until wages rose.”

“Urges companies that do increase prices to raise pay as well.”

On BOJ governor Kuroda’s 10-year tenure, PM said “at the moment, I am not thinking of shortening his term.”

“Government will prepare measures to help companies raise salaries even as they pass on increasing input costs.”

Market reaction

USD/JPY is little changed on the above comments, keeping its range around 145.70, in anticipation of a potential FX market internvetion by Japan.