Forex Flash: Departure of Mr Shirakawa, Departure from Banknote Rule - Nomura

Nomura Strategist Yujiro Goto notes that as Mr Shirakawa prepares to depart the BoJ, The DPJ policy chief, Mr. Sakurai, today said the party would support Mr. Kuroda’s nomination for BOJ governor and nomination of Mr. Nakaso for deputy governor, while it would oppose the nomination of Mr. Iwata for deputy governor

He feels that this is well expected and not a surprise. As the DPJ, the biggest party in the upper house, supports Mr. Kuroda and Mr Nakaso´s nominations, they should be approved by both houses. However, while the DPJ is likely to oppose Mr. Iwata´s nomination, Your Party, New renaissance Party, and some independent lawmakers are expected to support the nomination. Thus, Mr. Iwata is still likely to be supported by a majority in the upper house. Your Party and JRP are going to release their decisions tomorrow, according to Bloomberg.