Iran-Oman Near Strait of Hormuz Deal as Shipping Tensions Persist 
US Dollar Falls as Weak July Jobs Report Dents Fed Rate Hike Bets 
Chile Central Bank Holds Interest Rate at 4.5% as Inflation and Global Risks Persist 
Asian Stocks Mixed as Chip Selloff Hits KOSPI, Nikkei Ahead of US Jobs Data 
China Exports Beat July Forecasts as AI Demand Fuels High-Tech Trade 
Oil Prices Rise as Hormuz Reopening Remains Uncertain 
US Dollar Gains as Iran Tensions, Fed Rate Hike Bets Rise 
BOJ Rate Hike Expectations Rise Ahead of September Meeting 
Fed Holds Interest Rates Steady as Kevin Warsh Says Rising Treasury Yields Tighten Financial Conditions 
BOJ Seen Holding Rates at 1% While Keeping Inflation Risk Warning 
South Korea Raises Interest Rates to 2.75% as Inflation and Weak Won Drive Tightening 
Canada, US Hold Constructive Trade Talks as Tariff Negotiations Continue 
Asian Stocks Rise as Weak US Jobs Data Eases Fed Rate Hike Bets 
RBI Holds Repo Rate at 5.25% as Inflation Risks and Global Uncertainty Persist 
Japan PM Sanae Takaichi Unveils Growth Plan as BOJ Independence Concerns Lift Bond Yields 
The Bank of Japan (BOJ) is set to keep interest rates unchanged on Wednesday, closely monitoring the impact of U.S. tariff policies on Japan’s export-driven economy. Rising global uncertainty from President Donald Trump’s planned tariffs has overshadowed positive domestic data, including wage growth and inflation nearing the BOJ’s 2% target.
Governor Kazuo Ueda’s post-meeting briefing will be key as markets seek signals on the next potential rate hike. With the U.S. expected to announce auto tariffs on April 2, the BOJ remains cautious after its recent rate hike in January, maintaining the short-term policy rate at 0.5%. Meanwhile, the U.S. Federal Reserve is also expected to hold rates steady as it assesses Trump’s tariff impact.
While Japan’s exports surged 11.4% in February, core machinery orders—an indicator of capital spending—fell 3.5% in January, reflecting economic uncertainty. Despite rising costs, large firms recently agreed to substantial wage hikes for the third consecutive year, supporting inflation. The BOJ sees price risks tilted upward, with inflation hitting 4% in January.
Trump’s tariff moves have unsettled markets and raised fears of a U.S. recession, which could dampen Japan’s economic outlook. Washington recently hiked steel and aluminum tariffs to 25% and is set to announce further tariffs soon. The OECD forecasts global growth slowing from 3.2% in 2024 to 3.0% by 2026, citing trade policy concerns.
The BOJ will reassess growth and inflation forecasts at its April 30–May 1 meeting. Over two-thirds of economists expect another rate hike to 0.75% by Q3, likely in July, if economic trends align with BOJ projections.
