19 March | Other

Bank of Japan kept interest rates unchanged amid US tariff policy uncertainty

Bank of Japan kept interest rates unchanged amid US tariff policy uncertainty

The Bank of Japan kept interest rates unchanged at 0.5%. According to Reuters, policymakers plan to assess the impact of US import tariffs on Japan's export-dependent economy.

In addition, the central bank's decision was driven by concerns about a slowdown in global GDP growth due to Donald Trump's trade policy. Meanwhile, data on wages and prices in Japan show progress in achieving the regulator's inflation target of 2%, the news agency says. 

Uncertainty over the US president's tariff plans is already weighing on the economy of the Asian country. A Reuters poll showed local manufacturers’ business sentiment deteriorating in March.

Japan’s GDP growth and inflation dynamics remain uncertain due to risks associated with the effects of global trade tensions, the central bank states.

The regulator plans to raise interest rates further if price developments and GDP growth meet forecasts. More than two-thirds of economists surveyed by Reuters expect the Bank of Japan to hike the borrowing costs to 0.75% in the third quarter of this year, most likely in July.

Anton Volkov MarketCheese
Period: 22.04.2025 Expectation: 800 pips
USDCAD to rise from new support at 1.38200
Yesterday at 11:39 AM 30
Period: 26.04.2025 Expectation: 3909 pips
GBPUSD technical correction opens up selling opportunities with 1.288 target
Yesterday at 11:13 AM 24
Elizabeth_Kuzmicheva
Elizabeth_Kuzmicheva

Listed among the best MarketCheese authors
1st in the segment "Metals"
Period: 24.04.2025 Expectation: 150 pips
Brent crude poised to rebound to $69
Yesterday at 10:55 AM 25
Period: 22.04.2025 Expectation: 1495 pips
AUDCAD set to enter fifth wave of growth
Yesterday at 08:29 AM 33
Period: 23.04.2025 Expectation: 2500 pips
Rebound to 145 could interrupt USDJPY decline
17 April 2025 66
AntonVolkov
AntonVolkov

Listed among the best MarketCheese authors
1st in the segment "Currencies"
Period: 21.04.2025 Expectation: 600 pips
AUDUSD rebounds from 0.64000 resistance level
17 April 2025 38
Go to forecasts