BOJ will raise rates if Tokyo inflation accelerates

Bank of Japan Governor Kazuo Ueda stated the central bank's willingness to further raise interest rates if underlying inflation nears its 2% target. Ueda emphasized the BOJ's commitment to achieving its inflation goal, despite core consumer inflation exceeding 2% for three years. The BOJ ended its stimulus program last year and raised rates to 0.5% in January. The BOJ is cautious about the zero lower bound and the impact of higher U.S. tariffs. The central bank is expected to hold rates steady at its upcoming policy meeting.