Japan's second and third largest banking groups are on track to meet record high annual earnings forecasts as lending demand held up in the first quarter, despite uncertain global economic conditions.

The central bank held its overnight call rate target steady at 0.5%, where it has remained since its last hike in January.

President Trump has challenged conventional trade policy, and the U.S. is agreeing to deals with the European Union, Japan and others. Whether America comes out ahead depends in part on what the details of the tariff agreements turn out to be.