Bank of Japan holds steady, raises economic view

The Bank of Japan on Tuesday maintained its policy interest-rate range, as widely expected, and was more upbeat in its overall economic assessment.
“Japan’s economic activity is picking up with an easing of the supply side constraints caused by the earthquake disaster,” the central bank said in a statement released after its two-day meeting.
“After declining sharply following the earthquake, production has recently shown clear signs of picking up,” the bank said. “This has resulted in an upturn in exports.”
The policy board voted unanimously to keep its overnight call loan rate target in a range of zero to 0.1%.
It also cut its economic growth estimate for the fiscal year which began in April in a technical tweak to reflect the impact of the March 11 earthquake and tsunami, which caused a steep contraction in the January-March quarter. -MarketWatch