Nikkei: Bank of Japan expected to remain on hold this week

According to the Nikkei, the Bank of Japan is expected to keep interest rates unchanged at its meeting this week. The central bank anticipates the impact of US tariffs will continue to ripple through the Japanese economy, and will continue to monitor their impact on the broader economy, including business capital investment and wage growth. This marks the fifth consecutive meeting in which the Federal Reserve has maintained interest rates unchanged, following its January 2025 increase from 0.25% to 0.5%. Sources indicate that there is a growing consensus among policy committee members that a rate hike at the September meeting would be premature.