The Nikkei Average edged higher in the morning session. While the US Federal Open Market Committee (FOMC) unanimously decided to raise rates by 0.25%, the market remained range-bound ahead of the Bank of Japan's monetary policy meeting.
In the morning session on the Tokyo Stock Exchange, the Nikkei Average edged higher, gaining approximately ¥43.87 from the previous business day and rising to around ¥63,966.87. The index briefly posted a larger gain after the opening, but traded largely within a narrow range.
The US Federal Open Market Committee (FOMC) unanimously decided to raise rates by 0.25%. It also suggested the possibility of further rate hikes over the coming months, heightening caution in the market.
Caution over an acceleration in rate hikes persisted ahead of the announcement of the Bank of Japan meeting's outcome and the governor's press conference. At the same time, lower oil prices, a weaker yen and buying ahead of the end-September dividend entitlement date provided support. The TOPIX remained at a high level, while trading value on the TSE Prime Market was steady, although not particularly large.