Asian Stocks Rise as Investors Anticipate Bank of Japan Rate Decision

Asian stock markets are rising as investors await the Bank of Japan's interest rate decision. The yen weakened to 156.23 per U.S. dollar at the start of trading, ahead of the central bank's announcement. Market participants expect a 25-basis-point hike in rates and more forceful action against inflation risks.

The Bank of England warned that it could raise rates again if the war in the Middle East drags on. The U.S. Federal Reserve raised interest rates for the first time in three years last week, signaling further moves could come in the months ahead. The European Central Bank also said policy tightening might be necessary.

Bond prices stabilized after a sharp sell-off during the week. However, yields rose above 5% on U.S. Treasury bonds before falling to 4.936%. Brent crude futures fell 1% to $103.77 a barrel due to expectations of alternative oil supply routes from the Middle East.