US policy, overseas economies, FX do affect Japan's economy and pricesSo that must be taken into account in monetary policy settingJapan's economy has recovered moderately but some weakness still seenEconomy is facing mounting downward pressure due to US tariffs policyMomentum for wage hikes has accelerated but could weaken depending on US tariffs policyCompanies are increasingly adopting wait-and-see stance on capex due to US tariffs
TLDR: US tariffs have stuck a wrench in their plans. Now, they are on the sidelines waiting to see how tariffs will impact the economy and respond accordingly.
This article was written by Justin Low at www.forexlive.com.
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