BOJ Rate Hike Sparks Yen Weakness Amid Dissent
The Bank of Japan (BOJ) raised its policy rate to 1.25% today, but the Japanese yen remains weaker for it.
USD/JPY has surged back above 157 after the decision, with markets focused on the BOJ's next move.
The rate hike was widely expected, leaving attention on the dissenting votes from two board members: Toichiro Asada and Ayano Sato.
Both are newcomers to the central bank board, appointed by Japanese Prime Minister Sanae Takaichi earlier this year. They voted against the rate hike due to their favourable views on loose monetary policy.
The vote split has raised concerns about the BOJ's unity behind faster tightening and its potential impact on future rate hikes.