A policy official related to the Bank of Japan supports gradual rate hikes, with further adjustments possibly to continue within this year and next summer.

Mars Finance News: On July 2, a policymaker related to the Bank of Japan said they support advancing rate hikes in a “gradual, step-by-step” manner to support the yen and avoid causing shocks to domestic investment. The Bank of Japan may continue to raise rates within this year and during next summer, but afterwards it could move into a pause-and-observe phase, balancing inflation pressures with economic stability. Overall, the current stance leans toward “gradual tightening,” but no aggressive rate-hike signals have been issued.
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