BOJ Governor Ueda Absent from Jackson Hole, Rate Hike Expectations Rise

Bank of Japan Governor Kazuo Ueda will be represented by board member Naoki Tamura at this week's Jackson Hole conference in Wyoming, where investors are closely watching for signals on future monetary policy.

The BOJ said Wednesday that Ueda would not attend due to scheduling conflicts. Tamura, a former commercial banker and one of the more hawkish members of the nine-member policy board, will participate but hold no media engagements.

The focus at Jackson Hole is expected to be on new Federal Reserve Chair Kevin Warsh's speech, which could have significant implications for Japan through movements in the yen and Japanese government bond yields. Analysts believe Ueda's absence may shift attention to whether he will attend next week's G20 finance leaders' meeting.

Market participants are increasingly focused on whether the BOJ could accelerate its next interest-rate increase as inflationary pressures build, with a majority of economists surveyed by Reuters expecting a rate hike to 1.25% from 1% at its September 17-18 meeting.