Ueda concedes trade uncertainty clouds path of policy normalization

key takeaways

• As the Bank of Japan (BOJ) downgraded its outlook for growth and prices due to global economic uncertainty, Governor Ueda Kazuo signaled that while the BOJ is still committed to normalization, it is difficult to determine the appropriate time for its next move.
• The bank still sees underlying conditions pointing to the gradual achievement of its inflation target, but is deeply concerned about the impact tariffs could have on domestic economic decision-making.