Around the world, economic policy makers are in fact adapted that US President Donald Trump could overturn their plans at any time.

Some central bankers almost openly admit that they are at Trump’s mercy, hesitant to adapt the their monetary policy Until they find out if the target of its tariff measures will be targeted, the Axios news network says in its analysis.

The data used by officials in the US, Europe and Japan to evaluate their economies is old and cannot capture the impact of a vague commercial policy.

Central banks can no longer be the “protagonists” or “rhythm regulators” of macroeconomic policy, Thierry Wizman, a foreign exchange and interest rate strategic analyst at Macquarie, wrote on Wednesday.

“They are now ‘followers’, giving their power to legislative bodies, governments and diplomatic halls,” Wizman added, noting that the US Federal Bank (Fed) is among the banks that will “postpone their decisions in view of future events outside their jurisdiction”.

The Bank of Japan has kept interest rates unchanged on Tuesday night, giving more time to clarify Trump’s plans for mutual duties, which may target Japanese exports.

The White House has announced that it will make public details on tariffs, including specific rates by country and sector, in early April, with their implementation soon after.

“In the last month, there have been rapid changes in the range and speed of implementation of US duties,” Japan Bank Governor Kazuo Weda said at a press conference on Wednesday morning, according to Reuters.

“However, there are aspects that we may not even know after April, so uncertainty remains high,” he added, stressing that Trump’s trade threatens make it difficult to assess inflation.

Japan, unlike other major central banks, has raised interest rates three times in the last year, as its economy seems to have surpassed the deflation period.

On the one hand, Wenta said that salaries and prices could be stronger than the expected conditions that would support further interest rates.
However, this perspective can change if the upcoming duties reduce the demand for Japanese products, especially for cars.

Washington left earlier this month without assurances that his country would be excluded from future duties.

The Bank of England is also likely to keep interest rates unchanged on Thursday, despite recent indications that the United Kingdom’s economy is weakening.

“Policy -executives are also expected to hold a stand -up and wait for more data in the midst of global economic turmoil, before they reduce interest rates,” wrote Susannah Street, head of money and markets at Hargreaves Lansdown.

“There are concerns about further slowing growth, given the upheaval caused by duties in global trade.”