The Bank of Japan raised its policy rate by 0.25% to 1.25% at its monetary policy meeting. The market reacted, with the yen sold to around ¥157 at one point.
The Bank of Japan held its monetary policy meeting through the 18th and decided to raise its policy rate by 0.25% to 1.25%. The decision was approved by a majority vote.
At the meeting, 2 Policy Board members voted against the rate hike, heightening tensions in financial markets. In the foreign exchange market, the yen was sold at one point despite the BOJ's rate-hike decision, with dollar/yen approaching the ¥157 level.
Market participants are increasingly expecting the pace of future rate hikes to slow, while attention is focused on the yen's movements and the market's response.