BOJ Hikes Rates as War Fears Keep Oil Prices Elevated

Asian stocks rose and the dollar held its ground on Friday as investors contended with global policymakers ramping up efforts to rein in inflation.

The Bank of Japan joined the fray in delivering a widely expected rate hike, leaving the yen softer. The BOJ raised interest rates to a 31-year high of 1.25% to forestall the risks of overshooting its 2% inflation target.

Monetary policy response is in focus this week as the over six-month-long war in the Middle East shows few signs of ending, keeping oil prices above $100 per barrel and fanning inflation fears across the globe.