According to reports from Jinshi Data, analysts from IG Group pointed out that the Bank of Japan is facing a balancing challenge between inflationary pressures and slowing economic growth. Rice prices have doubled over the past year, and the core inflation rate has remained at or above the 2% target since April 2022. Economic growth has deteriorated, with a 0.2% annualized contraction in GDP in the first quarter and a 1.8% year-on-year decline in real wages. The Bank of Japan may keep interest rates unchanged, but a tough guidance could support the yen. Attention should be paid to policy statements and comments from the press conference for hints about future tightening measures.