The Bank of Japan raised its policy rate to 1.25%, its highest level in 31 years. The yen temporarily fell to the 157-yen range after the 7-2 vote, with 2 dissenting votes. The U.S. FOMC unanimously raised rates for the first time in roughly 3 years, while the U.S. 10-year Treasury yield rose above 5%.
At its monetary policy meeting, the Bank of Japan raised its policy rate to 1.25%, with 7 votes in favor and 2 against. This prompted a decline in market expectations for further rate hikes, and the yen temporarily fell to the 157-yen range.
On the same day, the Federal Open Market Committee (FOMC) unanimously decided on a rate hike, its first in roughly 3 years. This led to growing views that the move signaled a shift away from the U.S. monetary easing stance. Reports indicated that long-term yields rose in U.S. markets.