According to Odaily, Morgan Asset Management has indicated that the Bank of Japan is unlikely to raise interest rates in the near term, with further tightening of policy potentially dependent on the trajectory of the U.S. economy. Seamus Mac Gorain, the company's global head of rates, stated that while the Bank of Japan has a path to take action again, it would require the Federal Reserve to cut rates and stabilize the U.S. economy. He added that if the U.S. falls into a recession, this path would be blocked.

Mac Gorain suggested that further tightening of monetary policy might not occur until 2025. In an interview, he mentioned that the Bank of Japan could undertake a series of rate hikes, but this would depend on a relatively benign global backdrop. He emphasized that the Bank of Japan would not take action until the market stabilizes, and this would also hinge on whether the U.S. and global economies can avoid a recession.