Hints of rate rise from the Bank of Japan

The strong performance of Japan's economy will continue despite global economic uncertainties reflecting fears such as the US subprime mortgage crisis, according to Toshihiko Fukui, the governor of the Bank of Japan.

Fukui said on Wednesday: "Large profits by major corporations will lead to an increase in household income, and that itself will lead to an increase in consumption."

However, the semi-annual outlook, also published Wednesday, revealed the central bank lowered its fiscal 2007 fore

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