• Expect underlying inflation to gradually accelerate as economy continues to recover

Nothing too notable here.

• BOJ is gradually shrinking the size of its balance sheet, ideal size will be taking into account overseas examples
• Size of Japan’s monetary base and balance sheet somewhat too big now, which is why we are slowing bond buying

It’s quite a few steps from slowing bond buying to shrinking the balance sheet.

This article was written by Adam Button at www.forexlive.com.