Kenro Kawano and Monetary Base

: Benchmark 10-year notes are set to complete their first consecutive quarterly decline since March 2011 as a 40 percent rally in oil from a six-year low bolsters Kuroda claim that the BOJ price goal may be reached between April and September next year, according to Bloomberg. The central bank last week maintained its plan to expand the monetary base at an annual pace of 80 trillion yen after inflation vanished two months ago. Inflation-protected bonds are signaling living costs will rise 1 percent per year over the next decade, up from 0.75 percent at the beginning of the year. Kuroda seems to be confident inflation will pick up, said Kenro Kawano, chief bond strategist at Morgan Stanley MUFG Securities Co. in Tokyo. While Japan 10-year bond yield is likely to climb to 0.75 percent by year-end from 0.415 percent Monday, it could jump to as high as around 1 percent as the market inflation outlook changes, according to Kawano. If consumer prices exceed year-end forecasts, expectations for more easing will dissipate. (news.financializer.com). As reported in the news.