Bank of Japan May Raise Rates Again in October as Inflation and Price Pressures Mount
The Bank of Japan may raise interest rates again in October, drawing renewed attention from global markets. A former chief economist noted that with reduced trade uncertainty and rising inflation, the likelihood of another rate hike has increased. Japan’s current interest rate sits at 0.5%, the highest level since 2008. A surge in core consumer prices, along with climbing rice and oil costs, is putting additional pressure on policymakers. Investors should closely watch the central bank’s meetings in July and October, as these will be pivotal in shaping the future direction of Japan’s interest rate strategy.
