BoJ Set to Hike Rates Amid Persistent Inflation Pressures

The Bank of Japan is expected to hike its policy rate by 25 basis points to 1.25% on Friday, amid persistent price pressures.

This decision comes as the market expects Japan's headline inflation to edge up to 2.0% year-on-year in August, while core inflation remains unchanged at 1.8%.

Additionally, Japan will release its August trade data and July core machine orders on Wednesday, with market consensus expecting export and import growth to moderate.