Japan’s central bank should raise rates when its policy board meets this week, and failure to do so will weaken the yen and exacerbate inflation, said Takeshi Niinami, chief executive officer of Suntory Holdings Ltd.

European investment firm EQT will launch a $2.7 billion tender offer for Fujitec at 5,700 yen per share, the Japanese elevator maker said on Wednesday.

The 8.7-magnitude earthquake off Russia’s coast led to warnings and advisories for parts of Japan and Alaska. Officials in Hawaii told people to expect destructive waves.

Rei Ihara, food sector analyst at UBS Securities, said the scope for further price hikes is narrowing, as Japan's Engel coefficient, the share of household spending on food, hit 28.3% in 2024, the highest in 43 years.

Japan said on Tuesday the trade agreement it struck with the U.S. cleared uncertainties on U.S. trade policies but continued attention needs to be given to risks of those policies putting downward pressure on the Japanese economy.

William Sposato is a Tokyo-based journalist who has been a contributor to Foreign Policy since 2015. He has been following Japan’s politics and economics for more than 20 years, working at Reuters and the Wall Street Journal. He is also the co-author of a 2021 book on the Carlos Ghosn affair and its impact on Japan.