SMBC Nikko Securities economist Yoshimasa Maruyama says accelerating inflation
requires faster Bank of Japan tightening. He points to a sharp rise in Tokyo
September consumer prices, partly local but partly driven by higher corporate
costs from the Middle East conflict that are being passed through to consumers.
Maruyama expects quarterly rate hikes, taking the policy rate to 1.50% by
December 2026 and to a terminal 1.75% by March 2027.
