JPY Plummets After BoJ's 0.25% Rate Hike

The Japanese Yen (JPY) plummeted against major currencies on Friday after the Bank of Japan's (BoJ) monetary policy announcement. The USD/JPY pair traded 1.3% higher, reaching near 158.00 in the European trade.

In the BoJ's policy meeting, interest rates were raised by 25 basis points to 1.25%, a level not seen in 31 years. Two BoJ board members, Toichiro Asada and Ayano Sato, opposed the hike decision.

BoJ Governor Kazuo Ueda reaffirmed that the central bank will remain on the monetary tightening path, allowing market experts to price in more interest rate hikes in the near term.