Institution: High Shimizu may pose greater political resistance to the Bank of Japan's interest rate hike.

Jin10 data reported on October 6th, economist Ko Nakayama from Gansan Securities stated that the new party leader of the ruling party in Japan, Sanae Takaichi, proposed the statement “the government must be responsible for monetary policy,” which may imply that she would not tolerate interest rate hikes without her consent. “From the financial and economic hard data perspective, the rationale for an interest rate hike in October is almost entirely justified. However, the biggest obstacle lies in political factors.” Ko Nakayama pointed out, “It cannot be ruled out that the difficulty of the Bank of Japan raising interest rates now is greater than ever.”