在10月27日的日本大选之后，随着执政党自民党寻求支持以维持权力，玉木雄一郎领导的国民民主党对政府政策的影响日益增大。The leader of the opposition party that the ruling party, the Liberal Democratic Party of japan, is seeking support from, once again warned the Bank of Japan in an interview not to raise interest rates prematurely, stating that the central bank should wait at least six months before raising interest rates, until there are signs that wage growth is sustainably higher than inflation.
According to the Wisdom Financial News app, the leader of the opposition party that the ruling party, the Liberal Democratic Party of japan, is seeking support from, once again warned the Bank of Japan in an interview not to raise interest rates prematurely, stating that the central bank should wait at least six months before raising interest rates, until there are signs that wage growth is sustainably higher than inflation.
Leader of the National Democratic Party of japan, Yukio Edano, stated in an interview, "Monetary policy should not undergo significant changes because we need to observe the wage growth trends in next year's spring negotiations."
After the Japanese general election on October 27, as the ruling party, the Liberal Democratic Party of japan, seeks support to maintain power, the influence of the National Democratic Party led by Yukio Edano on government policies is increasing.
In the 465 total seats of the House of Representatives, the Liberal Democratic Party and its ruling partner Komeito obtained a total of 215 seats, which is below the required 233 seats for a majority. The number of seats held by the National Democratic Party, advocating for wage increases and cuts in national sales tax and income tax, has increased from 7 to 28.
On Tuesday, Yukio Edano pointed out in a press conference that the Bank of Japan should currently avoid adjusting its ultra-loose monetary policy.
The Bank of Japan ended negative interest rates in March and raised short-term interest rates to 0.25% in July, as japan has made progress in achieving its persistent 2% inflation target.
At the policy meeting on Thursday, the Bank of Japan kept short-term interest rates at 0.25%, but indicated that the risks surrounding the US economy have somewhat diminished, indicating that the conditions for another rate hike are maturing.
However, Yukio Edano stated that it is necessary to ultimately normalize monetary policy and allow the market to function normally.
Yukio Edano stated that maintaining loose monetary policy may depress the yen. "However, it is the strength of the US economy that creates a large interest rate differential between the US and Japan, monetary policy should not be used to manipulate exchange rates".
He refused to comment on the current exchange rate levels, but mentioned that intervening in the foreign exchange market would only have short-term effects, although it could act as a deterrent to speculative activities.
