Bank of Japan Anticipates Further Rate Hikes Amid Inflation Concerns

As Japan's inflation remains above target, the BOJ prepares for potential rate increases to stabilize the economy.

Two-thirds of economists expect the Bank of Japan to raise interest rates again in 2024, with most predicting hikes in the second half of the year.
Japan's core inflation cooled to 2.6% in March, staying above the BOJ's 2% target for two consecutive years.
The weak yen, hitting a 34-year low, complicates monetary policy, potentially influencing further rate adjustments.
BOJ Governor Kazuo Ueda signals possible rate hikes if the yen's decline significantly impacts inflation.
Market expectations and recent wage increases support the likelihood of continued policy normalization by the BOJ.