BoJ’s Ueda: Technological advancements bring new risks to financial stability

FXStreetNov 21, 2024 5:32 AM

View all comments（0）



Bank of Japan (BoJ) Governor Kazuo Ueda doesn’t touch upon monetary policy and economic outlook during his scheduled appearance on Thursday.

Key quotes

Financial industry is set to undergo even more transformation with the recent rise of generative AI.
To ensure a future that reaps the full benefits of technology, it is essential to build on the insights gained from the expertise and trial-and-error of financial professionals.
We have seen how technology has diversified financial intermediation.
A regulatory and supervisory framework that adapts to technological advancements is also essential.
As AI continues to spread globally, the Bank of Japan closely follows regulatory responses across jurisdictions.
Technological advancements bring new risks to financial stability.
As financial services grow more diverse and complex, the channels of risk transmission have become less transparent, and current financial regulations may not be fully equipped to manage new types of financial services.
This environment underscores the need for operational resilience, including robust management of cybersecurity and third-party risks.

Market reaction

USD/JPY holds its position above 155.00, at the time of writing, still down 0.22% on the day.

Reviewed byTony

Disclaimer: The content of this article solely represents the author's personal opinions and does not reflect the official stance of Tradingkey. It should not be considered as investment advice. The article is intended for reference purposes only, and readers should not base any investment decisions solely on its content. Tradingkey bears no responsibility for any trading outcomes resulting from reliance on this article. Furthermore, Tradingkey cannot guarantee the accuracy of the article's content. Before making any investment decisions, it is advisable to consult an independent financial advisor to fully understand the associated risks.

Comments (0)

Click the $ button, enter the symbol, and select to link a stock, ETF, or other ticker.

Commenting Guidelines

Recommended Articles

USD/JPY Hits 160.00 Mark, Will Japanese Government Intervene? Will the Currency’s Rally Be Contained?

TradingKey - As of March 30, USD/JPY continued to fluctuate at high levels near the 160 mark, with the Yen falling to a nearly one-year low. Market expectations for potential intervention by Japanese authorities have intensified rapidly, while uncertainty surrounding the Bank of Japan's policy path

Why Sanae Takaichi Winning Japan’s Diet Election Led to a Surge in Japanese Stock Indices？

TradingKey - Reports indicate that the ruling coalition led by Japanese Prime Minister Sanae Takaichi has secured a single-party majority in the parliamentary elections held on Sunday (February 8). Following the news, the yen weakened slightly, while the Nikkei Index surpassed 57,000 for the first t

Japan Central Bank Rate Hike To Three-Decade High Imminent, How Will The Market Go? Which Assets Most Affected?

As global monetary policy divergence enters a critical phase, the Bank of Japan (BoJ) is anticipated to raise its benchmark interest rate at the monetary policy meeting on December 19, 2025, by 25 basis points to 0.75% , marking its highest level in nearly 30 years.

"Sell Japan" Overpowers the "Takanichi Trade": Three Keys to a Turnaround

TradingKey - Compounded by a slump in U.S. technology stocks, Japanese markets are currently experiencing a sustained "triple whammy" of declines across equities, bonds, and the yen. This "sell Japan" narrative has overshadowed the positive sentiment that followed the "Takaichi trade" in late

SoftBank Ditches Nvidia for OpenAI. Is Leveraging a 'SoftBank Discount' to Back OpenAI's Future a Smart Play?

TradingKey - SoftBank Group's net profit more than doubled in the third quarter of 2025, driven by substantial gains from its investment in OpenAI. This surge follows the conglomerate's decision to liquidate its Nvidia stake and increase its bet on OpenAI, a strategic pivot that now tightly links

Featured Tools