The BOJ meeting will be held on 17–18 September, with the results expected to be announced around midday on the 18th. Most market participants expect a hike to 1.25%, and attention has shifted to whether the pace of the next move will accelerate.
The BOJ Monetary Policy Meeting will begin on 17 September, with the results expected to be announced around midday on the 18th. No Outlook for Economic Activity and Prices report will be released this time, while Governor Ueda's regular press conference is scheduled for 15:30.
The market expects the policy rate to be raised to 1.25%, with around 80% priced in by the OIS market. A key focus is whether the BOJ will signal the possibility of an acceleration in the pace of rate hikes later this year.
The US FOMC decided to raise rates for the first time in around three years, sending dollar-yen temporarily above ¥156. With the market now awaiting the BOJ's decision, the focus will be on whether the yen remains weak or starts to strengthen again. The timing of the BOJ announcement has not been confirmed, prompting calls for risk management to prepare for sharp moves during the Tokyo market's lunch break.
The market's next focus is the wording of the statement and press conference on whether the BOJ should accelerate from a pace of around two rate hikes a year. Whether the meeting signals that direction will be an important point.
Under the schedule immediately ahead, the FOMC decision and national CPI release fall on the same day, and dollar-yen and equity-market reactions are expected to unfold in two stages. Sharp moves during the Tokyo market's lunch break will also be closely watched when the BOJ announces its decision.