TOKYO -- The expectation of moderating inflation that underlies the Bank of Japan's decision to keep monetary policy loose faces new pressure as price hikes spread beyond food to services, focusing attention on upcoming job data for hints about the central bank's next move.
The BOJ has played the waiting game under new Gov. Kazuo Ueda. In a May 19 speech, he said that with Japan's 2% inflation target finally in sight, the cost of interrupting progress with "hasty policy changes" would be "likely be extremely high."
