CoinVoice has recently learned that Capital Economics indicates that the tariff issue continues to lack clarity, which may delay the Bank of Japan's actions to tighten monetary policy. The agency's baseline forecast remains that Tokyo will reach an agreement with Washington to avoid the threat of a 25% tariff. If this situation occurs soon and does not raise tariff levels, or only moderately raises tariff levels, then the rationale for the Bank of Japan to raise interest rates in October will not be shaken.
The current inflation rate is much higher than the Bank of Japan's forecast from May, and the Japanese economy has performed reasonably well so far. However, economist Marcel Thieliant indicates that any further delays in negotiations or a significant increase in tariffs could persuade the central bank to postpone interest rate hikes until next year. [Original link]