Credit Agricole CIB Research discusses its expectations for the nomination of the coming BoJ Governor.

"A newswire report that suggests Japan’s PM Fumio Kishida is considering nominating Hirohide Yamaguchi to be the next BoJ Governor led to a lurch lower in USD/JPY. While he helped craft the asset purchases programme the BoJ started back in 2010 and agreed to the joint BoJ/government statement to achieve the 2% inflation target in 2013, Yamaguchi has been a big critic of the current round of asset purchases as well as YCC, viewing them as unsustainable," CACIB notes. 

"Our economists continue to favour the nomination of current Deputy Governor Masayoshi Amamiya to be the next BoJ Governor," CACIB adds.