Japan Raises Benchmark Interest Rate to 31-Year High
The Bank of Japan increased its key rate to 1.25% on Friday, a move largely anticipated by markets.
Business & Markets • an hour ago
TOKYO -- Japan's central bank increased its benchmark interest rate to 1.25% from 1.0% on Friday, marking a 31-year high for the policy rate. The decision came at the conclusion of the Bank of Japan's two-day monetary policy board meeting and was widely anticipated by global markets.
This quarter-percentage-point increase follows a similar move by the U.S. Federal Reserve earlier in the week. The Bank of Japan's decision was influenced by pressure from the United States, stemming from concerns over the weakening Japanese yen.
Recently, Japan and the U.S. intervened together in currency markets to support the yen. The U.S. dollar is currently trading at approximately 155 yen.