Insiders: Bank of Japan may not raise interest rates at April meeting.

According to five sources familiar with the thinking of the Bank of Japan, it is unlikely that the Bank of Japan will raise interest rates next week. The hope of a short-term end to the Middle East conflict is gradually fading, which still leaves Japan's economic and price outlook filled with uncertainty. Although the final decision still has some uncertainty and will depend on the progress of peace negotiations between the US and Iran, the sources said that the central bank is inclined to maintain the status quo this month in order to have more time to assess the impact of the conflict. One source said, "Given the current level of uncertainty, the Bank of Japan may consider maintaining the status quo this month." Another source expressed a similar view. A third source said that the Bank of Japan is unlikely to raise interest rates, as the market has already fully considered the possibility of no rate hike this month. These sources said that even if the Bank of Japan maintains interest rates next week, due to the increasing inflation pressures, the bank is likely to signal that it is ready to raise rates as early as June.