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flag Bank of Japan governor says inflation still below 2% target, hints at future rate hikes.

flag Bank of Japan Governor Kazuo Ueda stated that Japan's underlying inflation is still below the central bank's 2% target, despite headline inflation being above target for over three years. flag Speaking at a seminar hosted by the European Central Bank, Ueda noted that the BOJ's estimate range for the neutral interest rate is "very large." flag The bank's current policy rate is "below neutral," and it may raise rates further if it believes underlying inflation will meet the 2% target sustainably.

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