Institution: The actions of the Bank of Japan depend on whether the price increases will spread beyond the energy sector.

Nobuyasu Atago, an economist at Rakuten Securities Economic Research Institute, stated that the key focus of the next actions by the Bank of Japan is to what extent the rise in energy prices due to the conflict in the Middle East will have a second-round impact on other goods and services. The economist predicted that the Bank of Japan will stand pat at its meeting next week, stating that during such shocks, the central bank should ensure that necessary funds reach those in need rather than raising interest rates. He added, "It is appropriate to postpone raising rates until the situation in the Strait of Hormuz normalizes or the outlook for oil procurement becomes clear."