BOJ Rate Hike Looms as Traders Bet on 80% Probability

A former member of the policy board at the Bank of Japan (BOJ) believes that the groundwork is set for a rate hike next month. Seiji Adachi, the ex-official, thinks that the BOJ will raise its benchmark interest rate on September 18, validating market speculation. Traders are assigning an approximately 80% probability to this event.

The BOJ's next policy decision is scheduled for September 18, and a majority of traders expect a rate hike at this time. This follows widespread market speculation about the possibility of a rate increase in the near future. According to Adachi, another rate hike could follow as early as January.