Fed and BOJ Hike Interest Rates Amid Global Asset Repricing

The Federal Reserve raised interest rates by 25 basis points on September 16 to a range of 3.75% to 4%, marking its first hike in over three years.

The move was anticipated by markets, with 16 of the 18 officials expecting at least one more increase this year.

The Bank of Japan is expected to follow suit on September 17, lifting its policy rate from 1% to 1.25%, its highest level in 31 years since 1995.

This synchronized hawkish pivot by the world's two major central banks has triggered a global asset repricing, with Goldman Sachs expecting another Fed hike in October.