According to informed sources, officials from the Bank of Japan believe that there is hardly any need to change the gradual interest rate hike monetary policy stance after Prime Minister Shigeru Ishiba faced setbacks in the Senate elections. Although officials will continue to closely follow the trends in government fiscal policy, they still believe that if the economic outlook is realized as expected, it is appropriate to continue raising the Benchmark Interest Rate. Informed sources said that the policy committee led by Bank of Japan Governor Kazuo Ueda is likely to keep the interest rate at 0.5% unchanged at next week's meeting. Given that the US-Japan trade negotiations are still ongoing, officials hope to assess the impact of the protocol on inflation trends and economic prospects before raising interest rates again. Informed sources indicated that while the election results will not currently change the Bank of Japan's policy path, some officials believe it is necessary to be cautious of the inflation upside risks that may arise from significant fiscal easing. As prices of food items like rice have soared, pushing price increases beyond expectations, officials have noted that inflation risks are on the rise. (Jin10)