Turkey central bank governor said the bank is closely monitoring how geopolitical developments could affect the pace of inflation easing.

Japanese Prime Minister Takaichi reportedly supports the Bank of Japan moving to raise rates sooner, with the next action possibly in September or October. The shift reflects BOJ concern that a weak yen is pushing up prices and the government's desire to reinforce the recent US-Japan coordinated FX intervention; the two sides are said to be aligning on the need for near-term hikes. The prime minister's office said monetary policy measures, including any rate changes, remain the BOJ's decision but called for close coordination to stabilise progress toward the 2% inflation target.

Turkey's central bank governor said the bank has decided to maintain its current policy stance because uncertainty persists, and that the worst phase of the war's impact has passed.