Ueda Says BoJ To Take Policy Decisions Without Preconceptions

(RTTNews) - Bank of Japan will make policy decisions as appropriate and without any preconceptions, Governor Kazuo Ueda told business leaders in Osaka.

Ueda refrained from providing clear signals about a potential interest rate hike, noting that the BoJ will closely monitor developments in the global economy and the impact of U.S. tariffs on Japan's price dynamics.

Ueda emphasized that the BoJ will continue to closely observe the monetary policy actions of the Federal Reserve as the future course of the US economy and the conduct of monetary policy could have a significant impact on Japan's economic activity and prices.

Regarding the US trade policies, the governor said a tariff rate of 15 percent has now been set will lead to reducing uncertainty. But how individual firms adapt their business strategies based on this tariff rate is likely to become clear going forward.

Ueda cautioned that if uncertainty regarding overseas economies, trade, and other policies remains elevated, Japanese companies may focus more on cost-cutting measures and potentially weaken their efforts to reflect price increases in wages.