Long-term interest rates fell across the US, Japan and Europe in bond markets on the 17th. After the Federal Reserve raised its policy rate on the 16th, expectations grew that Fed Chair Warsh would take a hawkish stance, prompting renewed buying of government bonds. The focus will now shift to the Bank of Japan's actions.
The yield on the 10-year US Treasury, a benchmark for long-term US interest rates, fell to 4.94% on the 17th, down from levels above 5% the previous day.
It temporarily reached 5.04% on the 15th, its highest level in 19 years, according to reports. Following the Federal Reserve's rate increase on the 16th, the market reassessed Chair Warsh's stance on containing inflation.
In light of movements in long-term interest rates in the US, Japan and Europe, the focus is expected to shift to the Bank of Japan (BOJ) and its monetary policy.