Ella 
The Japanese economy is recovering modestly, despite some weakness, Bank of Japan (BoJ) Governor Kazuo Ueda said on Tuesday.
The Japanese economy is recovering modestly amid some signs of weakness.
Corporate profits are improving and business confidence is solid.
The pace of economic growth is expected to slow as the overseas economic slowdown puts pressure on corporate profits.
Import prices, which drive inflation, are expected to weaken.
Uncertainty about overseas trade policies and the economic and price situation remains very high.
If the economy and prices are in line with the forecast, interest rate hikes will continue.
It is important to make judgments without any preconceived ideas.
In the outlook report, it has been stated that our baseline scenario may change significantly.
Will communicate closely with the government.
Will closely monitor the financing situation of companies through the Bank of Japan’s network.
There is no pre-set plan to raise interest rates, and interest rates will only be raised when the economy and prices rise again and the outlook is likely to be realized.
Be wary of uncertainty about how tariff rates affect the economy.
Uncertainty about the development of tariff policies in various countries is extremely high.
The bond reduction plan will be reviewed at the next policy meeting, taking into account the opinions of bond market participants.
Aware of the market’s view that some investors’ demand for ultra-long JGBs has declined.
Domestic investors remain the main buyers of ultra-long JGBs in the long run.
Movements in short-term and medium-term JGB yields tend to have a greater impact on the economy than ultra-long-term yields.
Fluctuations in ultra-long-term yields may affect short-term and medium-term yields, so pay close attention to market developments and their impact on the economy.
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