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Kuroda Easing Doomed as Yen Seen Missing 120 Level

Strategists’ forecasts signal the Bank of Japan will fail to reach its 2 percent inflation target as yen declines next year won’t be sufficient.

Japan’s currency will tumble 11 percent to 115 per dollar in 2015, according to a Bloomberg survey of analysts, short of the 120 level economists estimate will be needed for consumer prices to reach the BOJ’s goal. The breakeven rate, which shows bond investors’ expectation of future inflation, signals a 1.16 percent cost of living increase in the coming decade. The figure is 2.16 percent in the U.S. and 1.35 percent in Germany.