Yen edged a little stronger after BoJ 'hold' decision and its raising inflation forecasts ...Middle East

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At the same time, the BOJ sees significant downside risks from global trade policy uncertainty, lingering effects from higher food prices, and weak export and output momentum. While fiscal expansion in the U.S. and Europe could offer some uplift to global demand, the BOJ warns that protectionist trade measures may weigh on growth and potentially shift the broader trend in globalisation. Taken together, these signals suggest the BOJ is not in a rush to tighten further but is laying the groundwork for a potential rate hike toward the end of 2025 or into early 2026, contingent on the macroeconomic environment stabilising and inflation dynamics aligning with its targets.

Full post on the statement and report is here:

BOJ leaves short term at 0.5%, as expected This article was written by Eamonn Sheridan at investinglive.com.

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