BoJ Hikes Rate Amid Global Economic Uncertainty

The Bank of Japan (BoJ) raised its policy rate to 1.25% in line with expectations, marking a change from its previous cautious approach.

This decision was made with a 7-2 vote, with two board members appointed by PM Takaichi dissenting. The BoJ emphasized its intention to continue raising the policy interest rate and adjusting monetary accommodation.

In contrast, the Bank of England (BoE) kept the Bank Rate unchanged at 3.75% in a 6-3 vote, despite market expectations for a hike. This decision triggered some GBP weakness and lower rates.