According to news from CoinWorld, analysts at the IG Group indicate that the Bank of Japan (BOJ) faces the challenge of balancing persistent inflation pressures with slowing economic growth. The price of rice, a staple food for Japanese households, has doubled over the past year, highlighting the severity of inflationary pressures. Since April 2022, the core inflation rate has remained at or above the BOJ's 2% target, increasing the pressure for interest rate hikes. However, economic growth has noticeably deteriorated, with a 0.2% annualized contraction in GDP in the first quarter. Additionally, due to rising inflation, real wages have decreased by 1.8% year-on-year, which could suppress consumer spending and further constrain economic growth. While the BOJ is likely to maintain interest rates at today's meeting, any hawkish guidance could provide significant support for the yen. It is important to closely monitor the policy statement and comments from the press conference for hints about future tightening measures.