Bank of Japan officials see the possibility of mulling another interest rate hike this year after the U.S. and Japan struck a trade deal this week, according to people familiar with the matter.
The officials view the deal as reducing a key source of uncertainty for Japan’s economy and businesses, allowing the central bank to focus on monitoring the tariffs’ actual impact in incoming economic data, the people said.
With more clarity over trade, the central bank may be able to make a decision on policy at an earlier stage after parsing data and information from companies.
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