Bank of America has postponed the expected timing of the next rate hike by the Bank of Japan to June.

Affected by the conflict in the Middle East, economists and strategists at Bank of America have adjusted their predictions for the timing of the next rate hike by the Bank of Japan. They now expect the bank to tighten its monetary policy in June instead of April. In their report on April 22, Takayasu Kudo, Shusuke Yamada, Tomonobu Yamashita, and others wrote: "Given recent developments, including the increasing uncertainty surrounding the Middle East, we now expect the Bank of Japan to stay put in April, with the next rate hike likely in June." However, the report also notes: "If disturbances related to the Middle East persist for a longer period, or if fiscal policy debates once again trigger instability in the interest rate market, the possibility of a rate hike being postponed to July will increase."