Dollar Strengthens Against Yen After BOJ Split Rate Hike

MacroDigital Finance
โดย InfoQuest·JPUS·Read original
Summary · why it matters

The Bank of Japan raised its policy interest rate to a 31-year high of 1.25%, but the decision was not unanimous, with two policy board members dissenting, sending the US dollar sharply higher against the yen to 156.68 yen from 156.04 yen the previous day. Meanwhile, the dollar index, which measures the greenback against six major currencies, slipped 0.03% to 100.222, while the euro rose to 1.1483 dollars from 1.1475 dollars. The British pound also strengthened to 1.3391 dollars from 1.3353 dollars. Investors remain focused on the risk that Japanese authorities could intervene in the market to support the yen, after Finance Minister Satsuki Katayama said Japan would not hesitate to take additional coordinated measures. Data from CME Group's FedWatch tool showed investors see roughly a 55% chance that the Fed will raise rates by 0.25% at next month's meeting, up from 27% a week earlier.

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