The Bank of Japan raised its policy rate 25 bps to 1.25%, broadly as expected. Nikkei futures extended gains and the yen weakened. The BOJ said underlying inflation is nearing its 2% target and it will closely monitor the Middle East conflict, yen mo

2026-09-18

The Bank of Japan raised its policy rate 25 bps to 1.25%, broadly as expected. Nikkei futures extended gains and the yen weakened. The BOJ said underlying inflation is nearing its 2% target and it will closely monitor the Middle East conflict, yen moves and AI-driven demand. Markets are focused on Governor Ueda's late-Friday press conference for signals on the pace of further hikes.