BoJ Set to Continue Rate Hikes Amid Accommodative Conditions

The Bank of Japan (BoJ) has signaled that it will continue to raise interest rates in light of current accommodative financial conditions, according to Governor Masu.

Masu's comments come as the USD/JPY pair is up 0.05% on the day at 153.60.

The BoJ embarked on an ultra-loose monetary policy in 2013 to stimulate the economy and fuel inflation, but it began to retreat from this stance in March 2024 by lifting interest rates.

This move led to a reversal of the trend that had seen the Yen depreciate against its main currency peers due to increasing policy divergence between the BoJ and other central banks.