Analysis: With economic growth under pressure, the Japanese Prime Minister may want to postpone the Bank of Japan's interest rate normalization.

BlueBay Chief Investment Officer Mark Dowding stated in a report that Japanese Prime Minister Sanae Takaichi is very focused on achieving economic growth, and from this perspective, some believe she might want to postpone the Bank of Japan's interest rate normalization. However, he noted that a more dovish Bank of Japan stance could trigger concerns about a longer period of inflation overshooting, which would put pressure on the Japanese government bond yield curve. Mark Dowding stated, "We remain optimistic that the 10- to 30-year Japanese government bond yield curve will flatten further in the medium term." (Jinshi)