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With shifting Japanese inflation dynamics likely to shrink the Bank of Japan’s opportunity to tighten policy in the coming months, we think its July meeting will end with a decision to raise interest rates for the second – and final – time this year.
But will the Bank move this time – and could Japan’s growth-inflation outlook argue for further tightening? Our Japan and Markets economists held this special post-BOJ meeting briefing all about the Japanese economic and policy outlook.