Meanwhile, fluctuations in the U.S. dollar-yen exchange rate during this period remained within a narrow range. In other words, the direction and scale of monetary policies in the major economies have been quite similar, leading to a situation close to the fixed exchange rate regime shown in Table 1.
At some point, as we continue to tighten monetary policy, it will become appropriate to slow the pace of increases while we assess the effects of our cumulative tightening on the economy and inflation. In any case, the path of policy should depend on how quickly we make progress toward our inflation goal.