Jerome Powell Warns Against Politicizing the Federal Reserve, Defends Democratic Institutions 
US-Iran Ceasefire Deal Extends Peace Talks and Eases Oil Trade Restrictions 
BOJ Raises Interest Rates to 31-Year High, Signals Strong Focus on Inflation Risks 
Asian Stocks Rally as Japan and South Korea Reach Record Highs on US-Iran Peace Deal 
BOJ Signals More Rate Hikes as Inflation Risks Rise Amid Energy Price Pressures 
Oil Prices Ease as Markets Weigh U.S.-Iran Peace Deal and Strait of Hormuz Reopening 
Kevin Warsh Faces Early Fed Test as Inflation Risks Challenge Rate-Cut Expectations 
Goldman Sachs Sees Fed Holding Interest Rates Steady Until 2027 
Taiwan Central Bank Likely to Keep Interest Rates Unchanged Through 2027 
ECB Keeps July Rate Options Open Amid Iran War Energy Price Risks 
Japan Inflation Stays Below BOJ Target Despite Rate Hike and Rising Energy Cost Risks 
Asian Stocks Surge as Oil Prices Fall and Strong US Dollar Weighs on Markets 
ASX Proposes New Share Dilution Limits for Public Takeovers 
Dollar Hits One-Month High as Hawkish Fed Outlook Boosts Greenback 
The Bank of Japan (BOJ) is widely expected to keep interest rates unchanged at its April 28 policy meeting, maintaining the benchmark short-term rate at 0.75%. This would mark the third consecutive pause following a 25 basis point hike in December. Market expectations have shifted in recent weeks, as policymakers signaled caution amid global uncertainty, particularly tied to the ongoing Iran conflict and its potential impact on economic growth.
Although earlier forecasts pointed to a possible April rate hike, the BOJ’s more measured tone has encouraged a wait-and-see approach. However, the central bank is still likely to maintain a hawkish stance, especially as inflation pressures rise due to higher oil prices and global shipping disruptions. Analysts suggest that Japan’s strong wage growth and persistent inflation could keep the door open for future tightening, with many now eyeing a potential rate increase in June.
Some economists argue that a recent surge in Japan’s consumer inflation could still prompt an unexpected move in April. However, current market pricing leans toward a hold, reflecting uncertainty about how the BOJ will balance inflation risks with economic stability.
The Japanese yen has weakened in anticipation of a policy pause, though the USD/JPY pair has remained below the key 160 level, a threshold that previously triggered government intervention. The BOJ now faces the challenge of stabilizing the currency without tightening policy too quickly. Any hawkish signals from Governor Kazuo Ueda could help support the yen and curb further depreciation.
Meanwhile, Japan’s stock market has surged ahead of the decision, with the Nikkei 225 reaching record highs driven by gains in technology, banking, and industrial sectors. However, elevated valuations increase the risk of profit-taking, particularly if the BOJ signals future rate hikes. Investors remain cautious as geopolitical tensions and monetary policy shifts continue to shape market sentiment.
