El tiempo no podía ser mejor.

Shouldn’t this be “The time couldn’t have been better”?

The translation probably is correct. The correct interpretation would be known with more context. Tiempo and clima can be used to refer to the weather. Tiempo can also be translated as time.

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It is like translating… “I read the book” and “I read the book.” Any translation in either tense would be correct without context.
Recognizing that there is more than one possible correct translation shows a deeper understanding of the language.