BOJ chief to cautiously weigh rate hike amid uncertainty
The Bank of Japan chief has suggested again that the bank will cautiously weigh a further rate hike amid extremely high uncertainty.
BOJ Governor Ueda Kazuo was speaking at an international conference in Tokyo attended by other countries' central-bankers.
Ueda said inflation in Japan has picked up again, driven primarily by higher prices of food, most notably rice.
He said the bank will "adjust the degree of monetary easing" if incoming data provide a reason for greater confidence that economic activity and prices are improving.
At the same time, the BOJ chief pointed to growing uncertainty, particularly that related to trade policy, in an apparent reference to US tariff measures.
In a transcript of his speech, Ueda confirmed that the bank would judge, "without any preconceptions," whether its outlook for the economy and inflation will be realized. That statement suggested that the bank will continue to cautiously assess the tariffs' impact on the economy and prices in its decision on whether to further hike interest rates.
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