TOKYO -- The Bank of Japan's decision on Tuesday to continue "powerful monetary easing" but to also allow long-term interest rates to move in a wider band reflects the dilemma faced by Gov. Haruhiko Kuroda.
With external uncertainties looming -- stemming from the trade tensions between the U.S. and China -- and a domestic political calendar that includes the ruling party's leadership race in September, upper house elections next summer and a consumption tax hike soon to follow, the central bank felt a need to act. But it was careful not to send the wrong message.
