Daiwa Securities strategist Kenta Tadaide said the Bank of Japan's October
meeting will focus not just on whether to raise rates but on how members
advocating a renewed inflation upswing will vote and on whether the economic
minister attends. At September's meeting board members Asada and Sato opposed
lifting the policy rate to 1.25%. Tadaide said it is unclear whether those votes
reflect political intent, but the possibility is market‑relevant. He added the
US-Japan rate gap remains the main driver of yen weakness, yet a
self-reinforcing loop may form: further yen declines would strengthen the case
for BOJ hikes and prompt sharper verbal warnings from Japanese and US officials.
