our global economics and policy editor kathleen hayes joins us now with the latest. thleen, this was quite the surprise. do we know at this point what we can expect from ueda? >> i don't think we can exactly. we know the challenges he faces when policy normalization has to start at some point at the same time when many economists and policymakers might agree, not just yet and is certainly not quickly, while, the markets want to push against that, at least to the last couple months for governor corona. this talk about who he is. kazuo ueda. a policy board member 1998-2005. he helped introduce quantitative easing, the bond purchase program for the first time. he helped a vote in negative rates. these are things that carried over into abenomics and kurodanomics. he said that "current policy is appropriate and monetary easing needs to be continued at this point." and a policy review should be done at some point in the future. we do not know if he is a hawk or aid of. he will be the first academic to head the boj, usually they go back and forth between someone from the ban

kathleen hayes has more. en: no matter who is finally selected by prime minister fumio kishida, the next question for the next to be oj chief will be maintaining extraordinary monetary stimulus are taking the first steps towards politician -- policy. a topic and tenure -- contender. >> the bank is considering how to support the economy and gradually move towards normalization in a way that does not cause major turmoil in bond markets while watching the economic and financial situation carefully. >> the next governor of the bank of japan is taking over at a time when deflation turned into inflation. the doj now owns more than 50% of japan's government bond market and is struggling to keep it functioning smoothly. what will it take to keep the job of transition done? >> inflation is up and we think wage growth will be up. our view is a curve control will be dismantled in the second quarter and japanese yields should be higher. >> the next governor may widen the band for japanese government bond yields but for th

kathleen hayes is here with the latest. friday's pce index dampening a lot of traders hope that perhaps the fed might be ending its tightening cycle soon. kathleen: traders have become more on view with the federal reserve was not going to hike as fast as they thought it would, but these numbers underscore that view. when you look at the personal consumption expenditures headline number year over year, up 5.4 percent from 5.3 year over year. wrong direction, folks. energy, 4.7 versus 4.6. not the right direction. if you need to look at the monthly numbers, both of the monthly numbers on the headline and on the core came in at 0.6%. in some sort of normal month, that is a very large monthly number. consumer spending and new home sales coming very strong unexpectedly, so not too surprising that the university of chicago's monetary policy where there were about half a dozen fed officials, including the president of the cleveland fed and jim bullock, they were commenting on an academic paper released every month in new york. she